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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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41 sections with “unreasonable cost”: the first 40

  • FAR 25.106 Determining reasonableness of cost.
    …ombination of both, if the procedures in paragraph (b)(1)(i) of this section result in an unreasonable cost determination for the domestic offer or there is no domestic offer received, and the low offer is for a foreign end product that doe…
  • FAR 25.204 Evaluating offers of foreign construction material.
    …ial proposed for exception from the requirements of the Buy American statute based on the unreasonable cost of domestic construction materials. In the case of a tie, the contracting officer shall give preference to an offer that does not in…
  • FAR 52.225-9 Buy American—Construction Materials.
    … the Government determines that— (i) The cost of domestic construction material would be unreasonable. (A) For domestic construction material that is not a critical item or does not contain critical components. (1) The cost of a particula…
  • FAR 52.225-11 Buy American—Construction Materials Under Trade Agreements.
    … the Government determines that— (i) The cost of domestic construction material would be unreasonable. (A) For domestic construction material that is not a critical item or does not contain critical components. (1) The cost of a particula…
  • FAR 52.225-21 Required Use of American Iron, Steel, and Manufactured Goods—Buy American Statute—Construction Materials.
    … the Government determines that— (i) The cost of domestic construction material would be unreasonable; (A) The cost of domestic manufactured construction material, when compared to the cost of comparable foreign manufactured construction …
  • FAR 52.225-23 Required Use of American Iron, Steel, and Manufactured Goods—Buy American Statute—Construction Materials Under Trade Agreements.
    … the Government determines that— (i) The cost of domestic construction material would be unreasonable; (A) The cost of domestic manufactured construction material is unreasonable when the cumulative cost of such material, when compared to…
  • FAR 25.605 Evaluating offers of foreign construction material.
    …d that an exception applies because the cost of certain domestic construction material is unreasonable, in accordance with section 25.604, then the contracting officer shall apply evaluation factors to the offer incorporating the use of suc…
  • FAR 52.225-22 Notice of Required Use of American Iron, Steel, and Manufactured Goods—Buy American Statute—Construction Materials.
    …r. (c) Evaluation of offers. (1) If the Government determines that an exception based on unreasonable cost of domestic construction material applies in accordance with FAR 25.604, the Government will evaluate an offer requesting exception …
  • FAR 52.225-24 Notice of Required Use of American Iron, Steel, and Manufactured Goods—Buy American Statute—Construction Materials Under Trade Agreements.
    …r. (c) Evaluation of offers. (1) If the Government determines that an exception based on unreasonable cost of domestic construction material applies in accordance with FAR 25.604, the Government will evaluate an offer requesting exception …
  • FAR 15.403-1 Prohibition on obtaining certified cost or pricing data (10 U.S.C. chapter 271 and 41 U.S.C. chapter 35).
    …ction; and (C) There is no finding that the price of the otherwise successful offeror is unreasonable. Any finding that the price is unreasonable must be supported by a statement of the facts and approved at a level above the contracting o…
  • FAR 25.604 Preaward determination concerning the inapplicability of section 1605 of the Recovery Act or the Buy American statute.
    …nt this information with other readily available information. (c) Determination based on unreasonable cost of domestic construction material. (1) Manufactured construction material. The contracting officer must compare the offered price o…
  • FAR 52.225-10 Notice of Buy American Requirement—Construction Materials.
    …er requesting exception to the requirements of the Buy American statute, based on claimed unreasonable cost of domestic construction material, by adding to the offered price the appropriate percentage of the cost of such foreign constructio…
  • FAR 52.225-12 Notice of Buy American Requirement—Construction Materials Under Trade Agreements.
    …er requesting exception to the requirements of the Buy American statute, based on claimed unreasonable cost of domestic construction materials, by adding to the offered price the appropriate percentage of the cost of such foreign constructi…
  • DFARS 225.7004-6 Waiver of restrictions.
    …mination and findings that any of the following applies: (i) The restriction would cause unreasonable delays. (ii) Satisfactory quality items manufactured in the national technology and industrial base are not available. (iii) Applicatio…
  • FAR 25.103 Exceptions.
    …d in accordance with 5.201. (iii) No offer for a domestic end product was received. (c) Unreasonable cost. The contracting officer may determine that the cost of a domestic end product would be unreasonable, in accordance with 25.106 and …
  • FAR 25.202 Exceptions.
    …hat exceeds 55 percent domestic content (see 25.204(b)(1)(ii) and 25.204(b)(2)(ii)). (3) Unreasonable cost. The contracting officer concludes that the cost of domestic construction material is unreasonable in accordance with 25.204. (4) I…
  • FAR 25.603 Exceptions.
    …3(b)(1) also apply if any of those articles are acquired as construction materials. (ii) Unreasonable cost. The contracting officer concludes that the cost of domestic construction material is unreasonable in accordance with 25.605. (iii)…
  • FAR 31.205-26 Material costs.
    …xception under 15.403-1(b) and the contracting officer has not determined the price to be unreasonable. (f) When a commercial product or commercial service under paragraph (e) of this section is sold or transferred at a price based on a ca…
  • FAR 31.205-46 Travel costs.
    …lowable except when such accommodations require circuitous routing, require travel during unreasonable hours, excessively prolong travel, result in increased cost that would offset transportation savings, are not reasonably adequate for the…
  • DFARS 225.7017-3 Exceptions.
    …an statute for products of qualifying countries, as defined in 225.003. (b) Buy American—unreasonable cost. For a covered contract that utilizes photovoltaic devices valued at less than $174,000, the exception for unreasonable cost may app…
  • DFARS 252.225-7018 Photovoltaic Devices—Certificate.
    …known, and provide documentation that the cost of a domestic photovoltaic device would be unreasonable in comparison to the cost of the proposed foreign photovoltaic device, i.e., that the price of the foreign photovoltaic device plus 50 pe…
  • FAR 22.101-2 Contract pricing and administration.
    … contracts or for recognition of costs in pricing fixed-price contracts if they result in unreasonable costs to the Government. For a discussion of allowable costs resulting from labor-management agreements, see 31.205-6(b). (b) Labor disp…
  • FAR 25.101 General.
    …(c) Exceptions that allow the purchase of a foreign end product are listed at 25.103. The unreasonable cost exception is implemented through the use of an evaluation factor applied to low foreign offers that are not eligible offers. The eva…
  • FAR 25.606 Postaward determinations.
    …o allow use of the foreign construction material. When the basis for the exception is the unreasonable cost of a domestic construction material, adequate consideration is at least the differential established in 25.605(a).
  • FAR 14.404-2 Rejection of individual bids.
    … (f) Any bid may be rejected if the contracting officer determines in writing that it is unreasonable as to price. Unreasonableness of price includes not only the total price of the bid, but the prices for individual line items as well. (…
  • FAR 25.504-1 Buy American statute.
    …g evaluated price of $13,130 remains lower than Offer B. The cost of Offer B is therefore unreasonable (see 25.106(b)(1)(ii)). The 25.106(b)(2) procedures do not apply. Award on Offer C at $10,100 (see 25.502(c)(4)(i)). (b)(1) Example 2. …
  • FAR 52.242-14 Suspension of Work.
    …ence of the Government. (b) If the performance of all or any part of the work is, for an unreasonable period of time, suspended, delayed, or interrupted (1) by an act of the Contracting Officer in the administration of this contract, or (2…
  • FAR 52.245-9 Use and Charges.
    …etermine an hourly rental rate. (iii) When the ACO believes the appraisal rental rate is unreasonable, the ACO shall promptly notify the Contractor. The parties may agree on an alternative means for computing a reasonable rental charge. (…
  • DFARS 228.370-2 General.
    … (b) of the clause at 252.228-7001, including finding the covered aircraft are exposed to unreasonable conditions, the contracting officer shall issue a preliminary notice of revocation of the Government's assumption of risk to the contract…
  • DFARS 252.228-7001 Ground and Flight Risk.
    …ments within a timeframe specified by the Contracting Officer. In determining exposure to unreasonable conditions, the Contracting Officer will consider factors including, but not limited to, the following: lack of adequate hangar fire supp…
  • FAR 3.501-2 General.
    …ph A., column (2) under “Formats for Submission of Line Item Summaries”) and treatment of unreasonable price quotations (see 15.405).
  • FAR 9.202 Policy.
    … purchasing the item subject to the qualification requirement, a determination that it is unreasonable to specify the standards for qualification which a prospective offeror (or its product) must satisfy. After considering any comments of t…
  • FAR 14.404-1 Cancellation of invitations after opening.
    … that for which the bids were invited; (6) All otherwise acceptable bids received are at unreasonable prices, or only one bid is received and the contracting officer cannot determine the reasonableness of the bid price; (7) The bids were …
  • FAR 15.405 Price negotiation.
    …ctor insists on a price or demands a profit or fee that the contracting officer considers unreasonable, and the contracting officer has taken all authorized actions (including determining the feasibility of developing an alternative source)…
  • FAR 16.601 Time-and-materials contracts.
    …der a common control; and (B) The contracting officer has not determined the price to be unreasonable. (3) Material handling costs. When included as part of material costs, material handling costs shall include only costs clearly excluded…
  • FAR 27.302 Policy.
    …d inventions to meet the needs of the Government and protect the public against nonuse or unreasonable use of inventions; and (6) Minimize the costs of administering patent policies. (b) Contractor right to elect title. (1) Generally, pur…
  • FAR 31.109 Advance agreements.
    … be difficult to determine. To avoid possible subsequent disallowance or dispute based on unreasonableness, unallocability or unallowability under the specific cost principles at subparts 31.2, 31.3, 31.6, and 31.7, contracting officers and…
  • FAR 42.1302 Suspension of work.
    … ordered by the contracting officer for a reasonable period of time. If the suspension is unreasonable, the contractor may submit a written claim for increases in the cost of performance, excluding profit.
  • FAR 44.202-2 Considerations.
    …(3) Subcontracts are proposed for award on a non-competitive basis, at prices that appear unreasonable, or at prices higher than those offered to the Government in comparable circumstances; or (4) Subcontracts are proposed on a cost-reimbu…
  • FAR 52.203-12 Limitation on Payments to Influence Certain Federal Transactions.
    …is clause makes allowable or reasonable any costs which would otherwise be unallowable or unreasonable. Conversely, costs made specifically unallowable by the requirements in this clause will not be made allowable under any other provision.…

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.