Contracts between a Prime contractor and its subcontractors are considered commercial contracts. Subcontractors are encouraged to review agreements with their representative of the primary contractor in order to fully understand their obligations and remedies in the event of an impact on coronavirus performance. As has already been said, many trade agreements contain a force majeure clause that provides for delays in excuses in areas such as epidemics, quarantine restrictions, etc. However, it is important to know that these agreements often allow senior contractors to search for goods and services from other sources when a subcontractor is unable to meet its obligations for an excused reason. FAQ Instructions on the Effects of the COVID-19 (Coronavirus) Epidemic for Small Businesses That Are Implemented with Federal Contracts and Small Business Financial Assistance Programs. Yes, yes. State contracts provide for debt relief delays that may extend to quarantine restrictions resulting from exposure to COVID-19. See z.B. 52.249-14, 52.212-4 (f) and 52.211-13. When defining best practices, the contractor should discuss the situation with the contractor to determine if other options are available (for example. B the employee`s ability to telework or find a replacement). If other options are not available with the existing contractor, it may be useful, if possible, to re-purchase elsewhere. Such measures should be implemented by the government (for example.
B by the use of the termination clause or a free count) without prejudice to the evaluation of the contractor`s performance. Recusable delays resulting in adjustments to the contractor`s delivery plan are not expected to have a negative impact on a contractor`s performance assessment. Agencies are encouraged to be as flexible as possible in finding solutions. The federal telework law and recent announcements only apply to federal managers and workers, not contractors or their employees. Federal contractors are responsible for the management of their personnel, including how telework is used by their employees, in accordance with their own telework policy and the contractual terms they have negotiated with federal authorities. In the spirit of the OMB guidelines, which aim to maximize the use of telework, and FAR 7 .108, which orders agencies not to prevent the use of telework by contractors if they comply with contractual requirements, agencies are strongly encouraged to cooperate with their contractors in order to evaluate and maximize telework for their contractors. , where possible, to allow for the continuity of contracts compatible with the health and safety of their contractors and government staff. This includes amending contracts that, for the time being, do not allow telework. If a contract is not suitable for telework, for example. B because it needs to be implemented within a public body, agencies should consider being flexible for delivery plan completion dates. 11. And if I am a subcontractor of a federal contract, how is subcontracting affected? 10.