46.709
Warranties of commercial products and commercial services
Contracting officers should leverage commercial warranties, including extended warranties, for commercial products and services when it benefits the Government.
Overview
FAR 46.709 directs contracting officers to utilize commercial warranties, including extended warranties, when acquiring commercial products and services if such warranties are in the Government’s best interests. The section emphasizes leveraging the warranties already offered by contractors, rather than creating unique government-specific warranty terms, to streamline procurement and ensure effective coverage for repair and replacement needs. This approach aligns with the broader policies in FAR Part 12, which governs the acquisition of commercial items and encourages the use of standard commercial practices.
Key Rules
- Use of Commercial Warranties
- Contracting officers should consider and use commercial warranties provided by contractors for commercial products and services.
- Best Interests of the Government
- The decision to use a warranty should be based on whether it serves the Government’s best interests, considering factors like cost, coverage, and risk.
- Reference to FAR Part 12
- The section reinforces that the acquisition of commercial items should follow the guidance in FAR Part 12, which favors commercial terms and conditions.
Responsibilities
- Contracting Officers: Evaluate and incorporate commercial warranties, including extended warranties, when beneficial to the Government; ensure alignment with FAR Part 12 policies.
- Contractors: Offer standard commercial warranties and clearly communicate their terms and coverage.
- Agencies: Oversee that acquisitions of commercial items leverage available commercial warranties where appropriate.
Practical Implications
- This section exists to promote efficiency and cost-effectiveness by using existing commercial warranty solutions instead of developing custom government warranties.
- It impacts daily contracting by encouraging reliance on market-standard practices, reducing administrative burden, and potentially improving post-award support.
- Common pitfalls include failing to assess the adequacy of commercial warranties or overlooking extended warranty options that could benefit the Government.