FAR 49.109-5 Partial settlements

Subsection Federal Acquisition Regulation

Facts

Citation
FAR 49.109-5
Type
Subsection
Proposed changes
1
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

The TCO should attempt to settle in one agreement all rights and liabilities of the parties under the contract except those arising from any continued portion of the contract. Generally, the TCO shall not attempt to make partial settlements covering particular items of the prime contractor’s settlement proposal. However, when a TCO cannot promptly complete settlement under the terminated contract, a partial settlement may be entered into if-

(a) The issues on which agreement has been reached are clearly severable from other issues and

(b) The partial settlement will not prejudice the Government’s or contractor’s interests in disposing of the unsettled part of the settlement proposal.

Proposed changes

Proposed rule Published Comments
Federal Acquisition Regulation: Revolutionary Federal Acquisition Regulation Overhaul Parts 3 and 49 91 FR 37698 · FAR Case 2026-007, Docket No. FAR-2026-0007, Sequence No. 1 Closed Jul 23, 2026No final rule found

Quick answers

What is FAR 49.109-5?

FAR 49.109-5 is a subsection of the Federal Acquisition Regulation, titled "Partial settlements".

Are changes to FAR 49.109-5 proposed?

One proposed change has no final rule yet.

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