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FAR and DFARS › FAR Part 49: Termination of Contracts › Subpart 49.4

FAR 49.405 Completion by another contractor.

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 addresses what happens when a surety does not arrange for completion of a contract after a contractor's default. The contracting officer will normally award a new contract using the same plans and specifications, and must try to get the lowest price available for the completion work.

Applies to: Contracting officers handling completion after a contractor fails to perform, and the surety involved

What it requires

  • The contracting officer shall exercise reasonable diligence to obtain the lowest price available for completion.

Key terms: surety · completion of the contract · contracting officer · sealed bidding · plans and specifications

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

The text

If the surety does not arrange for completion of the contract, the contracting officer normally will arrange for completion of the work by awarding a new contract based on the same plans and specifications. The new contract may be the result of sealed bidding or any other appropriate contracting method or procedure. The contracting officer shall exercise reasonable diligence to obtain the lowest price available for completion.

← 49.404 Surety-takeover agreements. · 49.406 Liquidation of liability. →

Rule changes for FAR Part 49

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

FAR 49.405 Completion by another contractor · SpendQuery