28.203-4
Solicitation provision and contract clause
Always include the correct FAR provisions and clauses for individual sureties when bid guarantees or bonds are required to ensure compliance and protect the government's interests.
Overview
FAR 28.203-4 mandates the use of specific solicitation provisions and contract clauses when individual sureties are involved in government contracts. It ensures that the appropriate legal language is included in solicitations and contracts requiring bid guarantees, performance bonds, or payment bonds supported by individual sureties pledging assets.
Key Rules
- Bid Guarantee Provision
- Solicitations requiring a bid guarantee must include provision 52.228-17, which addresses the requirements for individual sureties pledging assets.
- Performance or Payment Bond Clause
- Solicitations and contracts requiring performance or payment bonds must include clause 52.228-11, specifying the obligations and procedures for individual sureties pledging assets.
Responsibilities
- Contracting Officers: Must ensure the correct provision and clause are inserted into solicitations and contracts as required.
- Contractors: Must comply with the requirements of the inserted provision or clause if using individual sureties.
- Agencies: Must oversee compliance with these requirements and ensure proper documentation is maintained.
Practical Implications
- This section ensures that the government is protected by requiring clear, enforceable terms when individual sureties are used.
- Failure to include the correct provision or clause can result in noncompliance and potential contract disputes.
- Contractors relying on individual sureties must be aware of the specific obligations and documentation required under these clauses.