Last Contracting Exam 6
Essential Contract Elements: - ANS--Mutual Assent: (Valid Offer & Acceptance "Meeting
of the Minds").
-Consideration (Each party receives something of value and gives something of value)
-Capacity (a party must have the capacity to understand and appreciate the terms of the
contract)
-Lawful Purpose(Obey the FAR & Statutes, Anti Deficiency)
-Certainty of Terms (Clear terms)
-Form provided by law (Written, Oral, Implied through conduct)
FAR Part 32 - ANS-Contract Financing and Payments
Contract Financing - ANS-is defined as Government authorized payments to contractors
prior to the acceptance of supplies or services by the Government.
Why provide contract financing? - ANS--To expedite the performance of essential
contracts.
-Increase competition
-High dollar production
-Aid Small Business
-Meets contractors need/minimizing Gov risk
Contract Financing payments include? - ANS--Advanced Payment (Least preferred)
- Performance-based payments (preferred method)
, FAR Part 43 - ANS-Contract Modifications
FAR Part 42 - ANS-Contract Administration and Audit Services
Modification Policy states: - ANS-Only Contracting Officers are empowered to execute
modifications on behalf of the Government.
Two Types of Modifications? - ANS-Unilateral and Bilateral
What is a Unilateral Modification? - ANS-Only contracting officer's signature needed
What is a Bilateral Modification? - ANS-Requires the signature of the Contracting Officer
and the contractor
Cardinal Changes? - ANS-Changes (Modification) to a contract that are "out of scope"
They may require a J&A.
Change Orders? - ANS-Written order signed by PCO, directing the contractor to make a
change without prior agreement (unilateral). Authorized by the "Changes Clause"
Contractor must continue performance.
Change Orders are limited to? - ANS--place of delivery
- Change in packaging
-Change to design or specifications
Constructive Change? - ANS-Oral or written act or failure to act by Government official
(in a position of authority) construed by contractor as having same effect as a written
change order
An "in-scope" modification does not: - ANS--Place an undue burden on the contractor
-Does not disrupt the competitive aspect
What is a claim? - ANS-A written demand or written assertion by one of the contracting
parties seeking, as a matter of right, the payment of money in a sum certain, the
Essential Contract Elements: - ANS--Mutual Assent: (Valid Offer & Acceptance "Meeting
of the Minds").
-Consideration (Each party receives something of value and gives something of value)
-Capacity (a party must have the capacity to understand and appreciate the terms of the
contract)
-Lawful Purpose(Obey the FAR & Statutes, Anti Deficiency)
-Certainty of Terms (Clear terms)
-Form provided by law (Written, Oral, Implied through conduct)
FAR Part 32 - ANS-Contract Financing and Payments
Contract Financing - ANS-is defined as Government authorized payments to contractors
prior to the acceptance of supplies or services by the Government.
Why provide contract financing? - ANS--To expedite the performance of essential
contracts.
-Increase competition
-High dollar production
-Aid Small Business
-Meets contractors need/minimizing Gov risk
Contract Financing payments include? - ANS--Advanced Payment (Least preferred)
- Performance-based payments (preferred method)
, FAR Part 43 - ANS-Contract Modifications
FAR Part 42 - ANS-Contract Administration and Audit Services
Modification Policy states: - ANS-Only Contracting Officers are empowered to execute
modifications on behalf of the Government.
Two Types of Modifications? - ANS-Unilateral and Bilateral
What is a Unilateral Modification? - ANS-Only contracting officer's signature needed
What is a Bilateral Modification? - ANS-Requires the signature of the Contracting Officer
and the contractor
Cardinal Changes? - ANS-Changes (Modification) to a contract that are "out of scope"
They may require a J&A.
Change Orders? - ANS-Written order signed by PCO, directing the contractor to make a
change without prior agreement (unilateral). Authorized by the "Changes Clause"
Contractor must continue performance.
Change Orders are limited to? - ANS--place of delivery
- Change in packaging
-Change to design or specifications
Constructive Change? - ANS-Oral or written act or failure to act by Government official
(in a position of authority) construed by contractor as having same effect as a written
change order
An "in-scope" modification does not: - ANS--Place an undue burden on the contractor
-Does not disrupt the competitive aspect
What is a claim? - ANS-A written demand or written assertion by one of the contracting
parties seeking, as a matter of right, the payment of money in a sum certain, the
