FAR 32.202-2 Types of payments for commercial product and commercial service purchases
Subsection Federal Acquisition Regulation
Facts
- Citation
- FAR 32.202-2
- Type
- Subsection
- Last amended
- 86 FR 61017 Effective Dec 6, 2021
- Text as of
- FAC 2026-01
- Official text
- acquisition.gov
Text from acquisition.gov. Federal Register history from the Federal Register's records of the rules that amended this subsection.
Text
These definitions incorporate the requirements of the statutory commercial financing authority and the implementation of the Prompt Payment Act.
Commercial advance payment, as used in this section, means a payment made before any performance of work under the contract. The aggregate of these payments shall not exceed 15 percent of the contract price. These payments are contract financing payments for prompt payment purposes (i.e., not subject to the interest penalty provisions of the Prompt Payment Act in accordance with subpart 32.9). These payments are not subject to subpart 32.4, Advance Payments for Other Than Commercial Acquisitions.
Commercial interim payment (see 32.001).
Delivery payment (see 32.001).
Federal Register history
| Final rule | Published | Effective |
|---|---|---|
| Federal Acquisition Regulation: Revision of Definition of “Commercial Item” | ||
| Federal Acquisition Regulation; Definitions |
Sections cited
- FAR Subpart 32.9 Prompt Payment
- FAR Subpart 32.4 Advance Payments for Other Than Commercial Acquisitions
- FAR 32.001 Definitions
Terms defined
- Commercial advance payment
- Commercial interim payment
- Delivery payment
Quick answers
What is FAR 32.202-2?
FAR 32.202-2 is a subsection of the Federal Acquisition Regulation, titled "Types of payments for commercial product and commercial service purchases".
When was FAR 32.202-2 last changed?
The most recent final rule on record is "Federal Acquisition Regulation: Revision of Definition of “Commercial Item”" (86 FR 61017), published Nov 4, 2021 and effective Dec 6, 2021.
Are changes to FAR 32.202-2 proposed?
No proposed rule from the last 3 years is waiting on a final rule.
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