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FAR and DFARS › FAR Part 3: Improper Business Practices and Personal Conflicts of Interest › Subpart 3.1

FAR 3.104-9 Contract clauses.

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 to include two specific clauses in solicitations and contracts above the simplified acquisition threshold, unless the contract is for commercial products or commercial services. The clauses address cancellation and recovery of funds, and price or fee adjustments, for illegal or improper activity. It matters because it determines whether these anti-fraud clauses will appear in your contract.

Applies to: Solicitations and contracts above the simplified acquisition threshold, except those for commercial products or commercial services

What it requires

  • Insert the clause at 52.203-8, Cancellation, Rescission, and Recovery of Funds for Illegal or Improper Activity
  • Insert the clause at 52.203-10, Price or Fee Adjustment for Illegal or Improper Activity

Key terms: simplified acquisition threshold · commercial products · commercial services · 52.203-8 · 52.203-10

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

The text

In solicitations and contracts that exceed the simplified acquisition threshold, other than those for commercial products or commercial services, insert the clauses at—

(a) 52.203-8, Cancellation, Rescission, and Recovery of Funds for Illegal or Improper Activity; and

(b) 52.203-10, Price or Fee Adjustment for Illegal or Improper Activity.

Sections it refers to

  • 52.203-8 Cancellation, Rescission, and Recovery of Funds for Illegal or Improper Activity.
  • 52.203-10 Price or Fee Adjustment for Illegal or Improper Activity.

Sections that refer to it

  • 52.203-8 Cancellation, Rescission, and Recovery of Funds for Illegal or Improper Activity.
  • 52.203-10 Price or Fee Adjustment for Illegal or Improper Activity.

← 3.104-8 Criminal and civil penalties, and further administrative remedies. · 3.201 Applicability. →

Rule changes for FAR Part 3

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

FAR 3.104-9 Contract clauses · SpendQuery