SpendQueryBeta

FAR and DFARS › FAR Part 52: Solicitation Provisions and Contract Clauses › Subpart 52.2

FAR 52.228-1 Bid Guarantee.

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 requires bidders to provide a bid guarantee when submitting a bid, in a form acceptable to the Government and in an amount specified in the solicitation. If the successful bidder fails to execute the contract or furnish required bonds within 10 days after receiving the forms, the Government may terminate for default, and the bidder may be liable for excess costs of acquiring the work. The bid guarantee can be used to offset that difference.

Applies to: Bidders on Government solicitations that include this provision

What it requires

  • Furnish a bid guarantee in the proper form and amount by the time set for opening of bids.
  • If successful, execute all contractual documents and furnish executed bonds within 10 days after receipt of the forms.

Key terms: bid guarantee · firm commitment · bid bond · surety · termination for default

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

The text

As prescribed in 28.101-2, insert a provision or clause substantially as follows:

Bid Guarantee (SEP 1996)

(a) Failure to furnish a bid guarantee in the proper form and amount, by the time set for opening of bids, may be cause for rejection of the bid.

(b) The bidder shall furnish a bid guarantee in the form of a firm commitment, e.g., bid bond supported by good and sufficient surety or sureties acceptable to the Government, postal money order, certified check, cashier's check, irrevocable letter of credit, or, under Treasury Department regulations, certain bonds or notes of the United States. The Contracting Officer will return bid guarantees, other than bid bonds, (1) to unsuccessful bidders as soon as practicable after the opening of bids, and (2) to the successful bidder upon execution of contractual documents and bonds (including any necessary coinsurance or reinsurance agreements), as required by the bid as accepted.

(c) The amount of the bid guarantee shall be ____ percent of the bid price or $____, whichever is less.

(d) If the successful bidder, upon acceptance of its bid by the Government within the period specified for acceptance, fails to execute all contractual documents or furnish executed bond(s) within 10 days after receipt of the forms by the bidder, the Contracting Officer may terminate the contract for default.

(e) In the event the contract is terminated for default, the bidder is liable for any cost of acquiring the work that exceeds the amount of its bid, and the bid guarantee is available to offset the difference.

(End of provision)

Sections it refers to

  • 28.101-2 Solicitation provision or contract clause.

Sections that refer to it

  • 28.101-2 Solicitation provision or contract clause.
  • 28.102-3 Contract clauses.
  • 52.228-17 Individual Surety—Pledge of Assets (Bid Guarantee).

← 52.227-23 Rights to Proposal Data (Technical). · 52.228-2 Additional Bond Security. →

Rule changes for FAR Part 52

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

FAR 52.228-1 Bid Guarantee · SpendQuery