FAR 52.246-16 - Responsibility for Supplies

From Knowledge base
***

Prescribed in 46.316

Effective Date:1 April 1984
Clause or Provision:Clause
Provision or Clause Number: 52.246-16 - Responsibility for Supplies

Principle Type And/Or Purpose of Contract:
Required:
Applicable:Fixed Price, Supply; Leasing of Motor Vehicles; Fixed Price, Service; Fixed Price, R&D
Optional:Utility Services; Simplified Acquisition Procedures (Excludes Micro-Purchase); Facilities; Indefinite Delivery; Dismantling, Demolition or Removal of Improvements; Fixed Price, Construction; Time & Material/Labor Hour; Cost Reimbursement, Construction; Cost Reimbursement, Supply; Cost Reimbursement, Service
Subject:
ProcurementType:
Contract Threshold:
Prescription Overview:

Prescription

Clause Overview:

Clause

(a) Title to supplies furnished under this contract shall pass to the Government upon formal acceptance, regardless of when or where the Government takes physical possession, unless the contract specifically provides for earlier passage of title.


(b) Unless the contract specifically provides otherwise, risk of loss of or damage to supplies shall remain with the Contractor until, and shall pass to the Government upon—

  • (1) Delivery of the supplies to a carrier, if transportation is f.o.b. origin; or
  • (2) Acceptance by the Government or delivery of the supplies to the Government at the destination specified in the contract, whichever is later, if transportation is f.o.b. destination.


(c) Paragraph (b) of this clause shall not apply to supplies that so fail to conform to contract requirements as to give a right of rejection. The risk of loss of or damage to such nonconforming supplies remains with the Contractor until cure or acceptance. After cure or acceptance, paragraph (b) of this clause shall apply.


(d) Under paragraph (b) of this clause, the Contractor shall not be liable for loss of or damage to supplies caused by the negligence of officers, agents, or employees of the Government acting within the scope of their employment.

Important Notes/Requirements:

"Applicable to solicitations and contracts for(a) supplies,(b) services involving the furnishing of supplies, or(c) research and development, when a fixed-price contract is contemplated and the contract amount is expected to exceed the simplified acquisition threshold. Applicable to solicitations and contracts for(a) supplies,(b) services involving the furnishing of supplies, or(c) research and development, when a fixed-price contract is contemplated and the contract amount is expected to exceed the simplified acquisition threshold. "

Subcontract Threshold:
Incorporated by Reference:Yes
Uniform Contract Format:E
Editor:Marshall

Personal notes.