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48 CFR · Federal Acquisition Regulation and Defense supplement

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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.

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45 sections with “Reduced payment”: the first 40

  • FAR 52.242-5 Payments to Small Business Subcontractors.
    …ts to Small Business Subcontractors (JAN 2017) (a) Definitions. As used in this clause— Reduced payment means a payment that is for less than the amount agreed upon in a subcontract in accordance with its terms and conditions, for supplie…
  • FAR 52.232-12 Advance Payments.
    … be considered as decreasing the unliquidated balance as of the date of the check for the reduced payment. (2) Interest charges resulting from the monthly computation shall be deducted from payments, other than advance payments, due the Co…
  • FAR 42.1502 Policy.
    …he contract includes the clause at 52.219-9, Small Business Subcontracting Plan; and (2) Reduced or untimely payments (as defined in 19.701), made to small business subcontractors, determined by the contracting officer to be unjustified. T…
  • FAR 52.219-9 Small Business Subcontracting Plan.
    …ividual subcontracting plans, provided the master subcontracting plan has been approved. Reduced payment means a payment that is for less than the amount agreed upon in a subcontract in accordance with its terms and conditions, for supplie…
  • FAR 32.608-2 Interest credits.
    …ollowing circumstances: (1) When the amount of debt initially determined is subsequently reduced; e.g., through a successful appeal. (2) When any amount collected by the Government is in excess of the amount found to be due on appeal unde…
  • FAR 52.212-4 Contract Terms and Conditions—Commercial Products and Commercial Services.
    …ecome payable to the Contractor. (vii) The interest charge made under this clause may be reduced under the procedures prescribed in FAR 32.608-2 in effect on the date of this contract. (j) Risk of loss. Unless the contract specifically pr…
  • FAR 52.216-7 Allowable Cost and Payment.
    … Contractor's invoices or vouchers and statements of cost audited. Any payment may be (1) reduced by amounts found by the Contracting Officer not to constitute allowable costs or (2) adjusted for prior overpayments or underpayments. (h) Fi…
  • FAR 52.216-26 Payments of Allowable Costs Before Definitization.
    …Contractor's invoices or vouchers and statements of costs audited. Any payment may be (1) reduced by any amounts found by the Contracting Officer not to constitute allowable costs or (2) adjusted for overpayments or underpayments made on pr…
  • FAR 52.232-16 Progress Payments.
    …active price reduction, after computing liquidations and payments on past invoices at the reduced prices and adjusting the unliquidated progress payments accordingly. The Government reserves the right to unilaterally change from the ordinar…
  • FAR 52.232-27 Prompt Payment for Construction Contracts.
    …tor performance deficiency is corrected; or (ii) The date that any subsequent payment is reduced under paragraph (e)(5)(i) of this clause. (f) Third-party deficiency reports—(1) Withholding from subcontractor. If a Contractor, after makin…
  • DFARS 232.102-70 Provisional delivery payments.
    …nal delivery payments shall be— (1) Used sparingly; (2) Priced conservatively; and (3) Reduced by liquidating previous progress payments in accordance with the Progress Payments clause. (c) Provisional delivery payments shall not— (1) …
  • FAR 19.701 Definitions.
    …ividual subcontracting plans, provided the master subcontracting plan has been approved. Reduced Payment means a payment that is for less than the amount agreed upon in a subcontract in accordance with its terms and conditions, for supplie…
  • DFARS 215.404-71-3 Contract type risk and working capital adjustment.
    …on of the contract action (also see 217.7404-6(a) and 243.204-70-6). When considering the reduced cost risks associated with allowable incurred costs on an undefinitized contract action, it is appropriate to apply separate contract risk fac…
  • FAR 22.2109 Enforcement of Executive Order 13706 paid sick leave requirements.
    …ages in an amount equaling any monetary relief may also be directed unless such amount is reduced by the Administrator of the Wage and Hour Division because the violation was in good faith and the contractor had reasonable grounds for belie…
  • FAR 32.503-9 Liquidation rates—alternate method.
    …rate if— (1) The contractor requests a reduction in the rate; (2) The rate has not been reduced in the preceding 12 months; (3) The contract delivery schedule extends at least 18 months from the contract award date; (4) Data on actual c…
  • FAR 42.1503 Procedures.
    …ss. (iv) Management or business relations. (v) Small business subcontracting, including reduced or untimely payments to small business subcontractors when 19.702(a) requires a subcontracting plan (as applicable, see Table 42-2). (vi) Oth…
  • FAR 49.203 Adjustment for loss.
    … upon or determined (including the allocable portion of initial costs (see 31.205-42(c)), reduced by multiplying the remainder by the ratio of (i) the total contract price to (ii) the total cost incurred before termination plus the estimate…
  • FAR 49.502 Termination for convenience of the Government.
    …applicable conditions (e.g., paragraph (d)) in 52.249-2 should be deleted and the periods reduced for submitting the subcontractor's termination settlement proposal (e.g., 6 months), and for requesting an equitable price adjustment (e.g., 4…
  • FAR 2.101 Definitions.
    …Environmentally preferable means, in the case of a product or service, having a lesser or reduced effect on human health and the environment when compared with competing products or services that serve the same purpose. This comparison may …
  • FAR 17.106-3 Special procedures applicable to DoD, NASA, and the Coast Guard.
    … (f) Annual and multiyear proposals. Obtaining both annual and multiyear offers provides reduced lead time for making an annual award in the event that the multiyear award is not in the Government's interest. Obtaining both also provides a…
  • FAR 19.704 Subcontracting plan requirements.
    …d conditions of the subcontract, and notify the contracting officer if the offeror pays a reduced or an untimely payment to a small business subcontractor (see 52.242-5). (b) Contractors may establish, on a plant or division-wide basis, a …
  • FAR 31.205-6 Compensation for personal services.
    …ed in accordance with subparagraph (o)(2)(iii)(E) of this section; the fair value must be reduced by the prepayment credit as determined in accordance with subparagraph (o)(2)(iii)(F) of this subsection. (ii) PRB cost attributable to the t…
  • FAR 32.006-4 Procedures.
    …tractor's overall financial condition and ability to continue performance if payments are reduced or suspended; (4) The contractor's essentiality to the national defense, or to the execution of the agency's official business; and (5) Asse…
  • FAR 32.206 Solicitation provisions and contract clauses.
    … the amount paid to the contractor upon acceptance of the item by the Government shall be reduced by the amount of installment payments made for the item. The contractor's request for final payment for each item is required to show this cal…
  • FAR 32.306 Loan guarantees for subcontracts.
    …tor to provide the progress payments. As a result, the need for the loan guarantee may be reduced or eliminated and the contractor would bear part or all of the risk of loss arising from the selection of the subcontractor.
  • FAR 32.503-11 Adjustments for price reduction.
    …for the excess of payments made for delivered items over amounts due as recomputed at the reduced prices; and (2) Increase the unliquidated progress payments amount for overdeductions made from the contractor's billings for items delivered…
  • FAR 32.801 Definitions.
    …yments by the designated agency to the assignee under an assignment of claims will not be reduced to liquidate the indebtedness of the contractor to the Government.
  • FAR 49.503 Termination for convenience of the Government and default.
    …d the period for submitting the subcontractor's termination settlement proposal should be reduced (e.g., 6 months).
  • FAR 52.214-27 Price Reduction for Defective Certified Cost or Pricing Data—Modifications—Sealed Bidding.
    …hese parties furnished data of any description that were not accurate, the price shall be reduced accordingly and the contract shall be modified to reflect the reduction. This right to a price reduction is limited to that resulting from def…
  • FAR 52.215-10 Price Reduction for Defective Certified Cost or Pricing Data.
    …ties furnished data of any description that were not accurate, the price or cost shall be reduced accordingly and the contract shall be modified to reflect the reduction. (b) Any reduction in the contract price under paragraph (a) of this …
  • FAR 52.215-11 Price Reduction for Defective Certified Cost or Pricing Data—Modifications.
    …ties furnished data of any description that were not accurate, the price or cost shall be reduced accordingly and the contract shall be modified to reflect the reduction. This right to a price reduction is limited to that resulting from def…
  • FAR 52.222-41 Service Contract Labor Standards.
    …tes that bear a reasonable relationship to those listed in a wage determination cannot be reduced to any single formula. The approach used may vary from wage determination to wage determination depending on the circumstances. Standard wage …
  • FAR 52.227-9 Refund of Royalties.
    …y chargeable to the Government and allocable to the contract, the contract price shall be reduced. Repayment or credit to the Government shall be made as the Contracting Officer directs. (e) If, at any time within 3 years after final payme…
  • FAR 52.229-4 Federal, State, and Local Taxes (State and Local Adjustments).
    …xcluded on the contract date but whose exclusion was later revoked or amount of exemption reduced during the contract period, other than an excepted tax, on the transactions or property covered by this contract that the Contractor is requir…
  • FAR 52.229-6 Taxes—Foreign Fixed-Price Contracts.
    …at was exempted or excluded on the contract date but whose exemption was later revoked or reduced during the contract period, other than excepted tax, on the transactions or property covered by this contract that the Contractor is required …
  • FAR 52.232-17 Interest.
    … become payable to the Contractor. (g) The interest charge made under this clause may be reduced under the procedures prescribed in 32.608-2 of the Federal Acquisition Regulation in effect on the date of this contract. (End of clause)
  • FAR 52.242-15 Stop-Work Order.
    …in 42.1305(b), insert the following clause. The 90-day period stated in the clause may be reduced to less than 90 days. Stop-Work Order (AUG 1989) (a) The Contracting Officer may, at any time, by written order to the Contractor, require t…
  • FAR 52.246-6 Inspection—Time-and-Material and Labor-Hour.
    …e, but the hourly rate for labor hours incurred in the replacement or correction shall be reduced to exclude that portion of the rate attributable to profit. The Contractor shall not tender for acceptance materials and services required to …
  • FAR 52.248-1 Value Engineering.
    …t acquisition savings. (1) Acquisition savings are realized when (i) the cost or price is reduced on the instant contract, (ii) reductions are negotiated in concurrent contracts, (iii) future contracts are awarded, or (iv) agreement is reac…
  • FAR 52.249-2 Termination for Convenience of the Government (Fixed-Price).
    …s shown in subparagraph (g)(3) of this clause, may not exceed the total contract price as reduced by (1) the amount of payments previously made and (2) the contract price of work not terminated. The contract shall be modified, and the Contr…

FAR (chapter 1)

DFARS (chapter 2, Defense)

Source: eCFR, 48 CFR chapters 1 and 2 (GPO GovInfo bulk data) ↗. Rule changes in progress: FAR, DFARS. Terms: glossary.