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Cardinal Changes (Significant Changes) clauses are the source of a significant number of disputes arising from government contracts. The clause, which has appeared in nearly every U.S. government contract for over 100 years, gives the government the power unilaterally to order contractual modifications. [1]
Changes clauses give the government the power unilaterally to order contractual modifications; [1] in return, the contract specifies that if the parties are unable to agree on compensation to be received by the contractor for the modified work, the contractor shall be entitled to an equitable adjustment.
The contract clause that is normally in a commercial software contract acquisition is the FAR 52.212-4, Commercial Items, clause. This clause mirrors the above intent which states that the Government will have rights provided to the normal consumer in that particular market, which in reality are defined by a separate software license.
The law of contracts varies from state to state; there is nationwide federal contract law in certain areas, such as contracts entered into pursuant to Federal Reclamation Law. The law governing transactions involving the sale of goods has become highly standardized nationwide through widespread adoption of the Uniform Commercial Code .
Under this clause, the contractor could claim a profit allowance for work it already had performed, but not for anticipated profits. However, the company argued that because the Army had failed to include this termination for convenience clause in the contract, the Army's cancellation of the project constituted a breach of contract. The ...
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Category:Contract clauses concerns specific clauses in legal contracts. Pages in category "Contract clauses" The following 54 pages are in this category, out of 54 total.
Sir Keir Starmer has claimed the Conservatives are the “coalition of blockers” as he defended his Government’s growth proposals and employment law reforms.
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