2.201
Contract clause
Include the Definitions clause (FAR 52.202-1) in all solicitations and contracts exceeding the simplified acquisition threshold to ensure clarity and compliance.
Overview
FAR 2.201 requires contracting officers to include the clause at FAR 52.202-1, Definitions, in all solicitations and contracts that exceed the simplified acquisition threshold. This clause standardizes the definitions of key terms used throughout the contract, ensuring clarity and consistency for both parties. The regulation is designed to prevent misunderstandings by establishing a common language for contract interpretation and administration.
Key Rules
- Inclusion of Definitions Clause
- The Definitions clause (FAR 52.202-1) must be inserted in all solicitations and contracts above the simplified acquisition threshold.
- Threshold Applicability
- The requirement applies only to contracts that exceed the simplified acquisition threshold, not to those at or below it.
Responsibilities
- Contracting Officers: Must ensure the Definitions clause is included in all applicable solicitations and contracts.
- Contractors: Should review and understand the definitions provided in the clause, as these govern contract interpretation.
- Agencies: Should oversee compliance with this requirement during contract formation and review.
Practical Implications
- This section exists to ensure all parties have a shared understanding of key contract terms, reducing the risk of disputes.
- Missing the clause can lead to ambiguity and potential legal challenges.
- Contractors should always check for the presence of the Definitions clause in contracts exceeding the simplified acquisition threshold.