Payment of Government Contractor
Design and production of a DEVICE
August 7, 2017Universal Parts Company is considering a bond issue instead of using its credit line to fund projects A and B. The following information was considered in deciding to change the source of capital:
August 7, 2017“Payment of Government Contractors” Please respond to the following:
•From the e-Activity, compare and contrast the requirements of the two (2) most common clauses for payment. Predict the confusion that might occur under the clauses in question. Suggest language that would clarify each of these payments clauses for a contractor(s). Provide a rationale for your response.
•Examine the requirements for withholding payments to a contractor(s) under a progress payment arrangement, and suggest two (2) remedies available to the government under such circumstances. Determine the remedy that provides the most ideal incentive for the contractor to complete his or her contractual obligation.
