FAR 52.249-6: Can a Prime Contractor Terminate Its Subcontractor Just Because Someone in the Government Says So?
Federal contracts famously include a clause permitting the government to terminate the agreement for the government’s own “convenience”—even if the contractor did not default on its performance obligations. Aware of this possibility, prime contractors typically add terms to their subcontracts permitting them to terminate on a similar basis. But a recent court case highlights the … [Read more…]