Requirements for Termination
To terminate a Schedule order:
- Review the GSA Schedule contract to identify applicable clauses prior to
taking action
- Include in the order file a record of dates the Schedule contractor received
notices and copies of all documentation to and from the contractor
When terminating a Schedule order, the ordering activity Contracting Officer:
- Should review the GSA Schedule contract to identify the applicable clauses
before taking any action toward termination
- Must include, in the order file, a record of dates the contractor received notices;
information from the COTR will support the Contracting Officer
- Should look for additional information, as needed, in FAR 52.212-4, 8.406-4,
and 8.406-5
The timing of actions related to order termination can affect the rights of the parties.
To clarify the timing of those actions, the order file must include a record of the date
any notices described in this section are received by the contractor. When one of these
notices is mailed, it must be sent by certified mail return receipt requested. When the
ordering activity arranges for hand delivery of the notice, a written acknowledgement
of receipt must be obtained from the contractor. These receipts must be retained in the
order file along with a copy of the related notice.
Schedule contracts contain clauses that allow ordering activities to terminate task orders
with contractors. Ordering activities can terminate orders using one of two options:
- Termination for Cause. Cancellation of a contract or any part thereof, because
the contractor defaults or fails to comply with any contract terms and conditions,
or fails to provide the government, upon request, with adequate assurances of
future performance.
- Termination for Convenience. Cancellation of a contract or any part thereof,
when it is in the government’s best interest to do so (e.g., when an item is no
longer needed).
For more information, refer to the MAS Desk Reference:
Section 6.