43.101 Definitions
Source: FAR 43.101 on acquisition.gov
FAR 43.101 defines key terms for contract modifications, ensuring all parties interpret and apply changes consistently and correctly.
Overview
FAR 43.101 provides key definitions used throughout Part 43, which governs contract modifications. It clarifies what constitutes an "administrative change" and details the meaning and determination of "effective date" for various types of contract modifications. These definitions are essential for understanding the procedures and legal implications of contract changes, ensuring all parties interpret terms consistently and comply with regulatory requirements.
Key Rules
- Administrative Change
- Defined as a unilateral, written contract change that does not affect the substantive rights of the parties, such as changes to the paying office or appropriation data.
- Effective Date
- Specifies how the effective date is determined for different types of contract actions, including solicitation amendments, change orders, supplemental agreements, and various types of contract terminations.
Responsibilities
- Contracting Officers: Must use these definitions to correctly classify and process contract modifications, ensuring proper documentation and communication of effective dates.
- Contractors: Should understand these terms to recognize the nature and timing of contract changes and their impact on performance and obligations.
- Agencies: Ensure consistent application of definitions across contracts and provide guidance to contracting personnel.
Practical Implications
- This section ensures clarity and consistency in contract modification processes, reducing disputes over terminology and timing.
- Misunderstanding these definitions can lead to improper contract administration, disputes, or compliance issues.
- Contractors and contracting officers should reference these definitions when processing or responding to contract modifications.
As used in this part—
Administrative change means a unilateral (see 43.103(b)) contract change, in writing, that does not affect the substantive rights of the parties (e.g., a change in the paying office or the appropriation data).
Effective date-
(1) For a solicitation amendment, change order, or administrative change, the effective date shall be the issue date of the amendment, change order, or administrative change.
(2) For a supplemental agreement, the effective date shall be the date agreed upon by the contracting parties.
(3) For a modification issued as a confirming notice of termination for the convenience of the Government, the effective date of the confirming notice shall be the same as the effective date of the initial notice.
(4) For a modification converting a termination for default to a termination for the convenience of the Government, the effective date shall be the same as the effective date of the termination for default.
(5) For a modification confirming the termination contracting officer’s previous letter determination of the amount due in settlement of a contract termination for convenience, the effective date shall be the same as the effective date of the previous letter determination.
