Allows government to unilaterally order changes to contract scope (for fixed-price contracts).
Applicability: Required in all fixed-price contracts.
Key Requirements
Be prepared for government-ordered changes to specifications, delivery dates, or requirements
Submit change order claims within specified timeframe (typically 30 days)
Document impact of changes on cost, schedule, and performance
Negotiate equitable adjustment to contract price and schedule
Common Issues & Pitfalls
Not documenting change order entitlement contemporaneously
Delaying change order claims beyond the 30-day submission window
Underestimating impact of changes on cost and schedule
Not maintaining clear before/after documentation for changes
Contractor Guidance for Your Bid
Government can change fixed-price contracts unilaterally. You're entitled to compensation for reasonable cost and schedule impacts. The key is documenting impact immediately when changes occur—don't wait until project end to submit claims. Track all change-related costs separately. Without contemporaneous documentation, you'll have trouble proving impact.
Related FAR Clauses
Frequently Asked Questions
What are the key requirements for FAR 52.243-1: Changes—Fixed-Price?
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Allows government to unilaterally order changes to contract scope (for fixed-price contracts). Required in all fixed-price contracts.
When does FAR 52.243-1 apply to a federal contract?
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Required in all fixed-price contracts.
What are the most common compliance issues with FAR 52.243-1?
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Not documenting change order entitlement contemporaneously Delaying change order claims beyond the 30-day submission window Underestimating impact of changes on cost and schedule Not maintaining clear before/after documentation for changes
How should contractors approach FAR 52.243-1 in their proposals?
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Government can change fixed-price contracts unilaterally. You're entitled to compensation for reasonable cost and schedule impacts. The key is documenting impact immediately when changes occur—don't wait until project end to submit claims. Track all change-related costs separately. Without contemporaneous documentation, you'll have trouble proving impact.
What related FAR clauses should contractors review alongside FAR 52.243-1?
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Contractors reviewing FAR 52.243-1 should also study related clauses: 52-243-2, 52-243-3. Understanding how these clauses interact helps avoid compliance gaps that can trigger contract disputes or disqualify bids.
What happens if a contractor fails to comply with FAR 52.243-1?
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Non-compliance with FAR 52.243-1 can result in contract termination for default, withholding of payments, debarment proceedings, or False Claims Act liability. Contracting officers typically issue a cure notice before termination. Contractors should consult with a contract attorney if they receive a cure notice related to this clause.