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FAR and DFARS › FAR Part 28: Bonds and Insurance › Subpart 28.1

FAR 28.101-2 Solicitation provision or contract clause.

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 tells contracting officers when and how to include a bid guarantee provision or clause in solicitations and contracts. It also sets rules for the amount of the bid guarantee, which must be at least 20 percent of the bid price but no more than $3 million. Contractors need to know this because it affects what they must provide when bidding.

Applies to: Contracting officers and bidders on solicitations or contracts that require a bid guarantee.

What it requires

  • Insert a provision or clause substantially the same as 52.228-1, Bid Guarantee, when a bid guarantee is required.
  • Determine the amount of the bid guarantee for insertion in the provision.
  • Ensure the bid guarantee amount is at least 20 percent of the bid price but does not exceed $3 million.

Key terms: bid guarantee · 52.228-1, Bid Guarantee · bid price · penal sum · solicitation

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

The text

(a) The contracting officer shall insert a provision or clause substantially the same as the provision at 52.228-1, Bid Guarantee, in solicitations or contracts that require a bid guarantee or similar guarantee. For example, the contracting officer may modify this provision—

(1) To set a period of time that is other than 10 days for the return of executed bonds;

(2) For use in connection with construction solicitations when the agency has specified that only separate bid bonds are acceptable in accordance with 28.101-1(b);

(3) For use in solicitations for negotiated contracts; or

(4) For use in service contracts containing options for extended performance.

(b) The contracting officer shall determine the amount of the bid guarantee for insertion in the provision at 52.228-1 (see 28.102-2(a)). The amount shall be adequate to protect the Government from loss should the successful bidder fail to execute further contractual documents and bonds as required. The bid guarantee amount shall be at least 20 percent of the bid price but shall not exceed $3 million. When the penal sum is expressed as a percentage, a maximum dollar limitation may be stated.

Sections it refers to

Sections that refer to it

← 28.101-1 Policy on use. · 28.101-3 Authority of an attorney-in-fact for a bid bond. →

Rule changes for FAR Part 28

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

FAR 28.101-2 Solicitation provision or contract clause · SpendQuery