52.217-6 Option for Increased Quantity
Source: FAR 52.217-6 on acquisition.gov
FAR 52.217-6 enables the government to increase supply quantities at the original unit price by written notice within a specified timeframe, ensuring contract flexibility.
Overview
FAR 52.217-6, "Option for Increased Quantity," allows the government to increase the quantity of supplies ordered under a contract at the same unit price as originally specified. This clause gives the Contracting Officer the authority to exercise an option to order additional quantities by providing written notice to the contractor within a specified timeframe, which must be stated in the contract. Delivery of the additional items must occur at the same rate as the original items unless both parties agree to a different schedule. This clause is typically included in contracts where the government anticipates a possible need for more supplies than initially ordered, providing flexibility without renegotiating terms.
Key Rules
- Option Exercise
- The government can increase the quantity of supplies at the contract unit price by exercising an option.
- Written Notice Requirement
- The Contracting Officer must provide written notice to the contractor within the period specified in the contract to exercise the option.
- Delivery Schedule
- Additional items must be delivered at the same rate as the original contract items unless otherwise agreed.
Responsibilities
- Contracting Officers: Must specify the option period in the contract and provide timely written notice to exercise the option.
- Contractors: Must fulfill additional quantities at the same unit price and delivery rate unless a different agreement is reached.
- Agencies: Ensure proper clause inclusion and oversight of option exercise procedures.
Practical Implications
- This clause provides flexibility for the government to increase supply quantities without renegotiating prices or terms.
- Contractors should be prepared for potential increases in order quantities and ensure capacity to deliver additional items at the agreed rate.
- Common issues include unclear option periods or disputes over delivery rates for added quantities.
As prescribed in 17.208(d), insert a clause substantially the same as the following:
Option for Increased Quantity (Mar 1989)
The Government may increase the quantity of supplies called for in the Schedule at the unit price specified. The Contracting Officer may exercise the option by written notice to the Contractor within ______________________ [insert in the clause the period of time in which the Contracting Officer has to exercise the option]. Delivery of the added items shall continue at the same rate as the like items called for under the contract, unless the parties otherwise agree.
(End of clause)