FAR 49.406 Liquidation of liability
Section Federal Acquisition Regulation
Facts
- Citation
- FAR 49.406
- Type
- Section
- 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 section.
Text
(1) The contract provides that the contractor and the surety are liable to the Government for resultant damages. The contracting officer shall use all retained percentages of progress payments previously made to the contractor and any progress payments due for work completed before the termination to liquidate the contractor’s and the surety’s liability to the Government. If the retained and unpaid amounts are insufficient, the contracting officer shall take steps to recover the additional sum from the contractor and the surety.
Quick answers
What is FAR 49.406?
FAR 49.406 is a section of the Federal Acquisition Regulation, titled "Liquidation of liability".
Are changes to FAR 49.406 proposed?
No proposed rule from the last 3 years is waiting on a final rule.
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