Overview
This section defines the scope of FAR Subpart 3.4 regarding contingent fees, establishing that its provisions govern all federal executive agency contracts regardless of the procurement method.
Key Rules
- Universal Scope: The regulations concerning contingent fees apply to all government contracts.
- Policy Extension: Statutory requirements that technically only target negotiated contracts (FAR Part 15) are extended by policy to include sealed bid contracts (FAR Part 14).
- Uniformity: This ensures that the prohibition against improper influence and unethical fee arrangements is consistent across all types of acquisitions.
Practical Implications
- Contractors must provide representations regarding contingent fees for every solicitation, regardless of whether it is a sealed bid or a negotiated procurement.
- Contracting Officers are required to include FAR clause 52.203-5, Covenant Against Contingent Fees, in all solicitations and contracts to ensure standard compliance across the federal marketplace.