52.242-17 Government Delay of Work
Source: FAR 52.242-17 on acquisition.gov
Contractors must promptly notify and submit claims for government-caused delays to receive equitable adjustments, or risk forfeiting compensation.
Overview
FAR 52.242-17, Government Delay of Work, provides contractors with a mechanism to seek equitable adjustments when contract performance is delayed or interrupted due to specific actions or inactions by the Contracting Officer that are not authorized by the contract. The clause outlines the conditions under which contractors may claim increased costs (excluding profit) and schedule adjustments resulting from such government-caused delays. It also sets strict notification and claim submission requirements, including deadlines for notifying the Contracting Officer and for submitting claims. The clause excludes adjustments for delays caused by the contractor or other causes, or where other contract terms address the delay.
Key Rules
- Basis for Adjustment
- Contractors may seek an adjustment (excluding profit) for increased costs and schedule changes if delays are caused by unauthorized acts or failures to act by the Contracting Officer.
- Exclusions
- No adjustment is allowed for delays caused by the contractor, other causes, or where other contract terms provide or exclude such adjustments.
- Notification Requirement
- Contractors must notify the Contracting Officer in writing within 20 days of the act or failure to act causing the delay.
- Claim Submission Deadline
- Claims must be submitted in writing as soon as practicable after the delay ends, but no later than the day of final payment under the contract.
Responsibilities
- Contracting Officers: Respond to contractor notifications, evaluate claims, and modify contracts as appropriate.
- Contractors: Promptly notify the Contracting Officer of delays, submit timely and properly documented claims, and ensure delays are not due to their own fault.
- Agencies: Oversee compliance with notification and claim procedures.
Practical Implications
- This clause protects contractors from government-caused delays, but only if strict notification and claim procedures are followed.
- Missing deadlines or failing to document claims properly can result in lost compensation rights.
- Contractors should maintain detailed records of delays and communications with the Contracting Officer.
As prescribed in 42.1305(c), insert the following clause:
Government Delay of Work (Apr 1984)
(a) If the performance of all or any part of the work of this contract is delayed or interrupted (1)by an act of the Contracting Officer in the administration of this contract that is not expressly or impliedly authorized by this contract, or (2)by a failure of the Contracting Officer to act within the time specified in this contract, or within a reasonable time if not specified, an adjustment (excluding profit) shall be made for any increase in the cost of performance of this contract caused by the delay or interruption and the contract shall be modified in writing accordingly. Adjustment shall also be made in the delivery or performance dates and any other contractual term or condition affected by the delay or interruption. However, no adjustment shall be made under this clause for any delay or interruption to the extent that performance would have been delayed or interrupted by any other cause, including the fault or negligence of the Contractor, or for which an adjustment is provided or excluded under any other term or condition of this contract.
(b) A claim under this clause shall not be allowed-
(1) For any costs incurred more than 20 days before the Contractor shall have notified the Contracting Officer in writing of the act or failure to act involved; and
(2) Unless the claim, in an amount stated, is asserted in writing as soon as practicable after the termination of the delay or interruption, but not later than the day of final payment under the contract.
(End of clause)