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  • Question

    If we issue an order before the period of performance ends, can the work extend after the period of performance of the Basic Ordering Agreement contract? If so for how long after the period of performance?


    Answer

    A basic ordering agreement (BOA) is not a contract. FAR 16.703(a) describes a BOA as follows:

    "A basic ordering agreement is a written instrument of understanding, negotiated between an agency, contracting activity, or contracting office and a contractor, that contains (1) terms and clauses applying to future contracts (orders) between the parties during its term, (2) a description, as specific as practicable, of supplies or services to be provided, and (3) methods for pricing, issuing, and delivering future orders under the basic ordering agreement. A basic ordering agreement is not a contract."

    Since a BOA is not a contract, its terms are not binding on the parties. A BOA does not have a "period of performance", but the parties may agree to an ordering period. Nothing limits the period of performance of an order under a BOA to specified time period in relation to end of the BOA's ordering period.


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