Definitions
FAR 43.101 defines key terms like "administrative change" and "effective date" to ensure clarity and consistency in contract modifications.
Overview
FAR 43.101 provides definitions for key terms used throughout Part 43, which governs contract modifications. It clarifies what constitutes an "administrative change" and details the meaning of "effective date" in various contexts related to contract amendments and modifications. Understanding these definitions is essential for both contracting officers and contractors to ensure proper execution and documentation of contract changes.
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 modifications, including solicitation amendments, change orders, supplemental agreements, and various types of termination notices.
Responsibilities
- Contracting Officers: Must use these definitions to accurately classify and document contract changes and ensure the correct effective date is applied.
- Contractors: Should understand these terms to recognize the nature and timing of contract modifications and their implications.
- Agencies: Should ensure that personnel are trained on these definitions to maintain compliance and consistency in contract administration.
Practical Implications
- This section exists to standardize terminology and processes for contract modifications, reducing ambiguity and disputes.
- Accurate use of these definitions helps prevent misunderstandings about when changes take effect and the nature of administrative versus substantive modifications.
- Common pitfalls include misclassifying changes or misapplying effective dates, which can lead to compliance issues or disputes over contract performance and payment.