FAR 52.249-8 — Default (Fixed-Price Supply and Service)
What It Is
FAR 52.249-8 is the Default clause for fixed-price supply and service contracts. It allows the government to terminate the contract, in whole or in part, if the contractor fails to deliver on time, fails to make progress so as to endanger performance, or fails to perform any other material provision. On a default termination the government can reprocure the supplies or services elsewhere and charge the defaulted contractor the excess reprocurement costs. The clause builds in protections: for failures other than late delivery the government must usually issue a cure notice giving the contractor (commonly 10 days) to fix the problem, and the clause excuses delays beyond the contractor's control (excusable delays). If a default termination is later found improper, it converts to a termination for convenience.
When It Applies
- Non-commercial fixed-price supply and service contracts; commercial buys use the 'termination for cause' provision in FAR 52.212-4.
- When the contractor fails to deliver on time, fails to make adequate progress, or breaches another material term.
- After a cure notice (for failures other than missed delivery dates), unless the failure is an outright missed delivery.
Key Provisions
| Provision | What It Means |
|---|---|
| Grounds for default | Failure to deliver on time, failure to make progress endangering performance, or failure to perform any other material provision can trigger termination. |
| Excess reprocurement costs | The government may buy the work elsewhere and charge the defaulted contractor the difference if the replacement costs more. |
| Cure notice & excusable delay | For failures other than missed delivery, a cure notice (often 10 days) usually precedes termination, and delays beyond the contractor's control are excusable. |
| Conversion to convenience | If a default termination is found to have been improper, it is treated as a termination for the government's convenience instead. |
What It Means for an SDVOSB
A default termination is the worst outcome on a contract: beyond losing the work, you can be charged excess reprocurement costs and the termination becomes a serious past-performance and responsibility problem that can hurt future bids (and even feed debarment in extreme cases). The defenses built into the clause matter — respond fully to any cure notice, and document excusable delays (government-caused, or beyond your control) promptly. If you are at risk of default, engage the contracting officer early; a negotiated path is almost always better than a termination on your record.
Common Pitfalls
- Ignoring or under-responding to a cure notice — it is often your last chance to avoid default and the excess-reprocurement liability.
- Failing to document excusable delays (government-caused or beyond your control) that would defeat a default.
- Underestimating the long tail of a default termination on CPARS past performance, future responsibility determinations, and even debarment exposure.
Frequently Asked
What happens if my contract is terminated for default?
Under FAR 52.249-8 the government can end the contract for your failure to perform and reprocure the supplies or services elsewhere, charging you any excess costs of that reprocurement. A default termination also damages your past-performance record and can affect future responsibility determinations. The clause gives you defenses — a cure notice for non-delivery failures and excusable delays beyond your control — and an improper default converts to a termination for convenience.
What is a cure notice and how should I respond?
A cure notice is a written notice from the contracting officer, for failures other than a missed delivery date, giving the contractor a period (commonly 10 days) to cure the deficiency before the government may terminate for default. Treat it as urgent: respond in writing, present a concrete corrective plan, document any excusable causes of delay, and, if possible, demonstrate the cure within the period. A strong, timely response is often what prevents a default termination.
Primary Sources
- FAR 52.249-8 — Default (Fixed-Price Supply and Service)
- FAR 49.504 — Termination of fixed-price contracts for default
Plain-English reference, not legal advice. Which clauses apply, and in which version, is set by the specific solicitation, and the FAR is periodically amended — always read the actual clause text in your solicitation and confirm its application with your contracting officer before relying on this.
Change log (1)
- LaunchedPublished the federal contract clauses reference covering the standard FAR Part 52 clauses an SDVOSB encounters in a set-aside contract — the SDVOSB set-aside clause (52.219-27), limitations on subcontracting (52.219-14), utilization of small business concerns (52.219-8), the reps-and-certs provisions (52.204-8 / 52.212-3), the commercial terms clauses (52.212-4 / 52.212-5), Changes (52.243-1), Termination for Convenience and Default (52.249-2 / 52.249-8), Prompt Payment and EFT payment (52.232-25 / 52.232-33), Service Contract Labor Standards (52.222-41), and basic cybersecurity safeguarding (52.204-21) — each with a key-provisions table, common pitfalls, an SDVOSB-specific angle, FAQPage, Legislation, Dataset, and BreadcrumbList structured data, primary-source FAR citations, and cross-links into the glossary, forms reference, contract types, regulation explainers, how-to guides, FAQ, and the limitations-on-subcontracting and price-to-win calculators.