32.805
Procedure
FAR 32.805 establishes strict procedural requirements for executing, filing, and releasing assignments of claims to ensure proper payment and legal compliance in government contracts.
Overview
FAR 32.805 outlines the procedures for assigning claims under government contracts, detailing the requirements for execution, filing, notification, examination, and release of assignments. It specifies how assignments must be executed depending on the type of entity (corporation, partnership, or individual), the documentation required, the process for notifying the government, and the steps for releasing or reassigning claims. The regulation ensures that all parties involved in the assignment of claims follow a standardized process to protect the interests of both the government and the contractor.
Key Rules
- Execution of Assignments
- Corporations must have assignments executed by an authorized representative, attested by the secretary or assistant secretary, and include a corporate seal or board resolution. Partnerships require evidence of authority for the signing partner. Individuals must sign before a notary.
- Filing Requirements
- The assignee must send an original and three copies of the notice of assignment, plus a certified copy of the assignment instrument, to specified parties.
- Notice Format
- A suggested format for the notice of assignment is provided to ensure consistency and completeness.
- Government Examination
- Contracting officers must verify contract approval, assignability, scope of assignment, and assignee registration in SAM before acknowledging receipt.
- Release of Assignment
- Procedures are outlined for releasing or reassigning assignments, including required documentation and acknowledgment of receipt.
Responsibilities
- Contracting Officers: Verify compliance with assignment procedures, ensure proper documentation, and acknowledge receipt of notices.
- Contractors: Execute assignments correctly, provide required documentation, and follow procedures for release or reassignment.
- Agencies: Oversee compliance and maintain records of assignments and releases.
Practical Implications
- This section ensures the legal and procedural integrity of claim assignments, protecting all parties and facilitating proper payment processes. Failure to follow these procedures can delay payments or invalidate assignments, making compliance critical for contractors and assignees.