Full and Open Acquisition, in practice

FAR clauses/Part 49/Checked 15 Sep 2026

FAR 52.249-2
Termination for Convenience of the Government (Fixed-Price)

Clause date
APR 2012
Prescribed at
FAR 49.502(b)(1)(i). General-use termination for convenience clause for fixed-price contracts that exceed the simplified acquisition threshold (other paragraphs of 49.502 prescribe alternates and clauses for special situations).
Applies to
Fixed-price contracts above the SAT.
Flowdown
No flowdown required
52.249-2 contains no subcontract flowdown paragraph. It is not listed in 52.244-6(c)(1) or 52.212-5(e)(1). Instead, paragraph (b) directs the Contractor, after a Notice of Termination, to terminate, assign, and settle the affected subcontracts.
Full text
FAR 52.249-2 on Acquisition.gov

… (a) The Government may terminate performance of work under this contract in whole or, from time to time, in part if the Contracting Officer determines that a termination is in the Government's interest. The Contracting Officer shall terminate by delivering to the Contractor a Notice of Termination specifying the extent of termination and the effective date. …

From the clause · Codified FAR · FAC 2026-01

Why it matters: A convenience termination pays for work done plus reasonable profit on it and settlement expenses, but not anticipated profit on the terminated work, which surprises contractors who priced the whole job.

This is the codified text, not any agency's Revolutionary FAR Overhaul deviation. An agency running a class deviation may have this clause renumbered, rewritten or prescribed differently — check the deviation before you put a clause in a solicitation.

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