49.601-1 Electronic notice
Source: FAR 49.601-1 on acquisition.gov
FAR 49.601-1 enables expedited contract termination notices via electronic means, but requires contractors to promptly confirm receipt to avoid additional notifications.
Overview
FAR 49.601-1 outlines the procedures for providing expedited notice of contract termination for convenience via electronic means. The regulation allows contracting officers to send termination notices electronically, provided the contractor confirms receipt. If confirmation is not promptly received, the officer must resend the notice and expedite a follow-up letter notice as described in FAR 49.601-2. If confirmation is received and the electronic notice contains all required content, a separate letter notice is not necessary. The section provides suggested templates for both complete and partial terminations, emphasizing immediate cessation of work, subcontract termination, and communication with suppliers and subcontractors.
Key Rules
- Electronic Notice Permitted
- Contracting officers may use electronic means to expedite termination notices, requiring contractor confirmation of receipt.
- Confirmation Requirement
- If the contractor does not promptly confirm receipt, the notice must be resent and a letter notice expedited.
- Content Requirements
- Electronic notices must include all content required by FAR 49.601-2 to substitute for the letter notice.
- Suggested Templates
- Provides sample language for both complete and partial terminations, adaptable for different contract types.
Responsibilities
- Contracting Officers: Must ensure electronic notice is sent, receipt is confirmed, and all required content is included; must resend and expedite letter notice if confirmation is not received.
- Contractors: Must promptly confirm receipt of electronic termination notice and follow instructions to cease work and notify subcontractors/suppliers.
- Agencies: Should oversee compliance with notification procedures and documentation.
Practical Implications
- This section streamlines the termination process, reducing delays by allowing electronic communication. Contractors must be vigilant in monitoring communications and confirming receipt to avoid additional notices. Failure to confirm can result in redundant notifications and potential confusion. Proper documentation and prompt action are critical for compliance and smooth contract closeout.
The contracting officer may provide expedited notice of termination by electronic means that includes a requirement for the contractor to confirm receipt. If the contractor does not confirm receipt promptly, the contracting officer shall resend the notice electronically, and expedite the letter notice described in 49.601-2. If confirmation of the electronic notice is received, and the electronic notice includes all content in 49.601-2, the contracting officer need not send the letter notice described in 49.601-2.
(a) Complete termination: The following electronic notice is suggested for use if a supply contract is being completely terminated for convenience. If appropriately modified, the notice may be used for other than supply contracts.
Date ____________
XYZ Corporation New York, NY 12345
Contract No. ___________________ is completely terminated under clause ___________, effective __________________ [insert "immediately, (today’s date)" or "on ______________, 20_____," or "as soon as you have delivered, including prior deliveries, the following items:" (list)]. Immediately stop all work, terminate subcontracts, and place no further orders except to the extent [insert if applicable "necessary to complete items not terminated or"] that you or a subcontractor wish to retain and continue for your own account any work-in-process or other materials. Provide by electronic means similar instructions to all subcontractors and suppliers. Detailed instructions follow.
_______________________________________________________________________________
(Contracting Officer)
(b) Partial termination:The following electronic notice is suggested for use if a supply contract is being partially terminated for convenience. If appropriately modified, the notice may be used for other than supply contracts.
Date ____________
XYZ Corporation New York, NY 12345
Contract No.______________ is partially terminated under clause ___________, effective ____________ [insert "immediately, (today’s date)" or "on ________, 20____"]. Reduce items to be delivered as follows: [insert instructions]. Immediately stop all work, terminate subcontracts, and place no further orders except as necessary to perform the portion not terminated or that you or a subcontractor wish to retain and continue for your account any work-in-process or other materials. Provide by electronic means similar instructions to all subcontractors and suppliers. Detailed instructions follow.
_____________________________________________________________________________
(Contracting Officer)