FAR and DFARS › DFARS Part 239: Acquisition of Information Technology › Subpart 239.74

DFARS 239.7410 Cancellation and termination.

The codified text (eCFR, as of 2026-10-02). Under the Revolutionary FAR Overhaul ↗, agencies follow class deviations with new text for many parts while the formal rules go through the Federal Register: check the solicitation and your contract's clauses, which rule.

In plain English

This section defines cancellation as stopping a requirement after an order is placed but before service starts, and termination as stopping a requirement after an order is placed and after service starts. It also says that any cancellation or termination charges must be determined under the applicable tariff or agreement/contract. This matters because it tells contractors when a stop is a cancellation versus a termination and where to look for the charges.

Applies to: Contractors with orders for services under DFARS

What it requires

  • Determine cancellation or termination charges under the applicable tariff or agreement/contract.

Key terms: Cancellation · Termination · Tariff · Agreement/contract

Written by AI from this section's text. A guide, not legal advice: the text below rules.

The text

(a)(1) Cancellation is stopping a requirement after placing of an order but before service starts.

(2) Termination is stopping a requirement after placing an order and after service starts.

(b) Determine cancellation or termination charges under the provisions of the applicable tariff or agreement/contract.

← 239.7409 Special assembly. · 239.7411 Contract clauses. →

Rule changes for DFARS Part 239

Source: eCFR, 48 CFR chapters 1 and 2 (GPO GovInfo bulk data) ↗. Plain words for the terms: glossary.

DFARS 239.7410 Cancellation and termination · SpendQuery