FAR and DFARS › FAR Part 3: Improper Business Practices and Personal Conflicts of Interest › Subpart 3.6
FAR 3.601 Policy.
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 prohibits a contracting officer from knowingly awarding a contract to a Government employee or to a business owned or controlled by Government employees, unless an exception applies. It aims to prevent conflicts of interest and the appearance of favoritism. Special Government employees are generally excluded from this prohibition, except in three specific situations.
Applies to: Contracting officers and Government employees, including special Government employees
What it requires
- Do not knowingly award a contract to a Government employee or to a business concern or other organization owned or substantially owned or controlled by one or more Government employees, except as specified in 3.602.
Key terms: Government employee · special Government employee · conflict of interest · contracting officer
Written by AI from this section's text. A guide, not legal advice: the text below rules.
The text
(a) Except as specified in 3.602, a contracting officer shall not knowingly award a contract to a Government employee or to a business concern or other organization owned or substantially owned or controlled by one or more Government employees. This policy is intended to avoid any conflict of interest that might arise between the employees' interests and their Government duties, and to avoid the appearance of favoritism or preferential treatment by the Government toward its employees.
(b) For purposes of this subpart, special Government employees (as defined in 18 U.S.C. 202) performing services as experts, advisors, or consultants, or as members of advisory committees, are not considered Government employees unless—
(1) The contract arises directly out of the individual's activity as a special Government employee;
(2) In the individual's capacity as a special Government employee, the individual is in a position to influence the award of the contract; or
(3) Another conflict of interest is determined to exist.
Sections it refers to
- 3.602 Exceptions.
← 3.503-2 Contract clause. · 3.602 Exceptions. →
Rule changes for FAR Part 3
- Federal Acquisition Regulation: Revolutionary Federal Acquisition Regulation Overhaul Parts 3 and 49 ↗ · proposed 2026-06-23 · comments due 2026-07-23
- Federal Acquisition Regulation: Inflation Adjustment of Acquisition-Related Thresholds ↗ · final rule 2025-08-27 · effective 2025-10-01
- Federal Acquisition Regulation: Preventing Organizational Conflicts of Interest in Federal Acquisition ↗ · proposed 2025-01-15 · comments due 2025-03-17
- Federal Acquisition Regulation: Controlled Unclassified Information ↗ · proposed 2025-01-15 · comments due 2025-03-17
- Federal Acquisition Regulation: Improving Consistency Between Procurement and Nonprocurement Procedures on Suspension and Debarment ↗ · final rule 2025-01-03 · effective 2025-01-17
- Federal Acquisition Regulation: Inflation Adjustment of Acquisition-Related Thresholds ↗ · proposed 2024-11-29 · comments due 2025-01-28
- Federal Acquisition Regulation: Reverse Auction Guidance ↗ · final rule 2024-07-30 · effective 2024-08-29
- Federal Acquisition Regulation: Improving Consistency Between Procurement and Nonprocurement Procedures on Suspension and Debarment ↗ · proposed 2024-01-09 · comments due 2024-03-11
Source: eCFR, 48 CFR chapters 1 and 2 (GPO GovInfo bulk data) ↗. Plain words for the terms: glossary.