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Title 48 CFR: Federal Acquisition Regulations System › Chapter 1 › Part 3 › Subpart 3.5 › § 3.501-2: General.

This text was captured on Aug 14, 2026. It is a snapshot, not a live feed, so check the official code before relying on it.

Text

(a) Buying-in may decrease competition or result in poor contract performance. The contracting officer must take appropriate action to ensure buying-in losses are not recovered by the contractor through the pricing of— (1) Change orders; or (2) Follow-on contracts subject to cost analysis. (b) The Government should minimize the opportunity for buying-in by seeking a price commitment covering as much of the entire program concerned as is practical by using— (1) Multiyear contracting, with a requirement in the solicitation that a price be submitted only for the total multiyear quantity; or (2) Priced options for additional quantities that, together with the firm contract quantity, equal the program requirements (see subpart 17.2). (c) Other safeguards are available to the contracting officer to preclude recovery of buying-in losses (e.g., amortization of nonrecurring costs (see 15.408, Table 15-2, paragraph A., column (2) under “Formats for Submission of Line Item Summaries”) and treatment of unreasonable price quotations (see 15.405). [48 FR 42108, Sept. 19, 1983, as amended at 62 FR 51270, Sept. 30, 1997; 84 FR 19840, May 6, 2019]

This is a copy of a public record, reproduced as it was published. It is not legal advice, and it may not be the version a court would rely on. Check the official source before you cite it.

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