Are there unique rules of the game in contracting with the federal government? What are they?
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UPDATED: Oct 17, 2012
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The Federal Acquisition Regulations or FAR provide many rules that are unique to contracting with the Government. For example,
the Government may make unilateral changes to the contract without breaching the contract,
the private firm must continue to perform the contract while a dispute is pending,
the “termination for convenience” clause prevents contractors from recovering anticipatory profit in situations which would normally constitute breach of contract in the private sector,
the “bona fide needs” rule and the anti-deficiency and advanced payment statutes limit the Government’s ability to enter into binding contracts that extend past the current fiscal year,
the Government may audit the books of the private firm, and
the Government may prosecute for fraud under the false claims and false statements statutes.
The FAR may be accessed on a web page maintained by the Government Printing Office, at https://www.access.gpo.gov/nara/cfr/index.html.