Plain-English FAR Clause Explorer
Demystify federal contract clauses. Look up mandatory small business rules, Prompt Payment terms, subcontracting limits, and compliance traps.
Search FAR Clauses
Search by clause number (e.g. 52.219-14, 52.212-4) or topic (subcontracting, prompt payment, termination, ethics).
If you win a small business set-aside contract, you must perform a minimum percentage of the work yourself (or with 'similarly situated' small business subcontractors). You cannot act as a pure middleman.
• Services: At least 50% of the cost of contract performance incurred for personnel. • Supplies: At least 50% of the cost of manufacturing the supplies (excluding material costs). • General Construction: At least 15% with your own employees. • Specialty Trade Construction: At least 25% with your own employees.
Track all internal payroll hours versus subcontractor invoices. Ensure any subcontractor counted toward your performance share holds the exact same SBA socioeconomic status (e.g., SDVOSB prime hiring an SDVOSB sub).
Relying on a large business subcontractor to perform 80% of a service contract is a False Claims Act audit trap. Penalties include contract termination, debarment, and civil fines.
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FAR Clause FAQs
Where are FAR clauses located in a solicitation?
In standard Uniform Contract Format (UCF) solicitations, contract clauses are located in Section I. Provisions and instructions to offerors are located in Section L, and evaluation factors are in Section M.
What is the difference between a clause and a provision?
A provision applies only during the solicitation and bidding phase (before award). A clause applies after contract award and governs the legal rights, duties, and performance obligations of both parties.
Are clauses incorporated by reference legally binding?
Yes. Under FAR 52.252-2, clauses incorporated by reference (listing only the title and number) have the exact same full legal force and effect as if set forth in full text. Never sign without reviewing them.