FAR and DFARS › FAR Part 32: Contract Financing › Subpart 32.2

FAR 32.201 Statutory authority.

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 cites the statutory authority that lets agencies pay for commercial products or commercial services on terms and conditions the agency head decides are appropriate or customary in the commercial marketplace and in the best interest of the United States. It matters to contractors because it confirms that commercial payment terms can be set by the agency rather than following standard government payment rules.

Applies to: Contracts for commercial products or commercial services

Key terms: commercial products · commercial services · commercial marketplace · best interest of the United States

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

The text

10 U.S.C. 3805 and 41 U.S.C. 4505 provide that payment for commercial products or commercial services may be made under such terms and conditions as the head of the agency determines are appropriate or customary in the commercial marketplace and are in the best interest of the United States.

Sections that refer to it

← 32.200 Scope of subpart. · 32.202 General. →

Rule changes for FAR Part 32

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

FAR 32.201 Statutory authority · SpendQuery