Defense Acquisition Magazine September-October 2025

sign the contract. Contractors sign up to a clause that allows the govern- ment to terminate them if they do not fulfll the terms of the contract. In addition, the contractor signs up to a clause that allows the government to terminate the contract at will. These clauses grant the government enor- mous power. In fact, seldom if ever would one see a clause in a private party contract that would allow one party to unilaterally abrogate the con- tract. Despite the government’s power in terminations, government contract professionals must take fve essential steps when considering a termination. 1. They must read the applicable termination clause(s) in the con- tract, Federal Acquisition Regula-

tion (FAR), and any supplement- ing regulations related to the type of termination being con- sidered. In addition, they should scan the internet for articles or blogs related to terminations to be well versed on current views and policies. 2. They need to be in lock step with the requiring element as to exact- ly what needs to be terminated. The item being terminated may be the one critical item required for the system to work. They must ask if all potential solutions have been explored and if any neces- sary backup plans are in place. 3. They must coordinate the action with an attorney to ensure that a solid legal foundation exists for

the termination. 4. They should consider consult- ing a termination contracting of- ficer (TCO) who works for the Defense Contract Management Agency (DCMA) because TCOs are the experts. 5. Finally, they must document, doc- ument, document in case they fnd themselves in court. The FAR references three main types of terminations: Termination for Default, Termination for Conve- nience, and Termination for Cause. Each category can have several asso- ciated clauses depending on the type of contract employed (e.g., fxed price or cost type). All termination clauses are found in Part 52 of the FAR. The prescriptions or information related

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