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FAR and DFARS › FAR Part 8: Required Sources of Supplies and Services › Subpart 8.4

FAR 8.406-2 Inspection and acceptance.

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 explains how supplies and services ordered under schedule contracts are inspected and accepted. For supplies, the consignee normally inspects at destination, but source inspection by the schedule contracting agency may apply in certain cases. For services, the ordering activity may inspect and test the work as the order's quality assurance plan specifies.

Applies to: Ordering activities and consignees receiving supplies or services under schedule contracts

What it requires

  • Consignees shall inspect supplies at destination, except in the stated situations
  • When the schedule contracting agency performs inspection, the ordering activity will provide two copies of the order specifying source inspection to that agency
  • The consignee shall limit inspection to kind, count, and condition on receipt for material already inspected at source and found conforming
  • The ordering activity shall perform inspections and tests as specified in the order's quality assurance surveillance plan without unduly delaying the work

Key terms: consignee · source inspection · destination · latent defects · quality assurance surveillance plan

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

The text

(a) Supplies. (1) Consignees shall inspect supplies at destination except when—

(i) The schedule contract indicates that mandatory source inspection is required by the schedule contracting agency; or

(ii) A schedule item is covered by a product description, and the ordering activity determines that the schedule contracting agency's inspection assistance is needed (based on the ordering volume, the complexity of the supplies, or the past performance of the supplier).

(2) When the schedule contracting agency performs the inspection, the ordering activity will provide two copies of the order specifying source inspection to the schedule contracting agency. The schedule contracting agency will notify the ordering activity of acceptance or rejection of the supplies.

(3) Material inspected at source by the schedule contracting agency, and determined to conform with the product description of the schedule, shall not be reinspected for the same purpose. The consignee shall limit inspection to kind, count, and condition on receipt.

(4) Unless otherwise provided in the schedule contract, acceptance is conclusive, except as regards latent defects, fraud, or such gross mistakes as amount to fraud.

(b) Services. The ordering activity has the right to inspect all services in accordance with the contract requirements and as called for by the order. The ordering activity shall perform inspections and tests as specified in the order's quality assurance surveillance plan in a manner that will not unduly delay the work.

← 8.406-1 Order placement. · 8.406-3 Remedies for nonconformance. →

Rule changes for FAR Part 8

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

FAR 8.406-2 Inspection and acceptance · SpendQuery