COR Modifications & Change Orders 2 — Questions and Answers
Question 1: A contractor performs extra work based on the COR's verbal direction before a modification is issued. Which doctrine may allow the government to be bound by this unauthorized commitment?
- Doctrine of apparent authority
- Ratification by the Contracting Officer (Correct answer)
- Implied-in-fact contract rule
- Constructive change order doctrine
Correct answer: Ratification by the Contracting Officer
A Contracting Officer may ratify an unauthorized commitment made by a COR if it is in the best interest of the government and meets specific FAR 1.602-3 criteria.
Question 2: Under FAR Part 43, which type of contract modification requires the contractor's signature before it becomes binding?
- Unilateral modification
- Administrative change
- Bilateral modification (supplemental agreement) (Correct answer)
- Stop-work order
Correct answer: Bilateral modification (supplemental agreement)
Bilateral modifications (supplemental agreements) require mutual agreement and signatures from both parties to be enforceable.
Question 3: When a modification increases the contract price beyond the ceiling of an Indefinite-Delivery Indefinite-Quantity (IDIQ) contract, what must occur?
- The COR may approve the overage if justified
- The CO must issue a new task order to cover the excess
- The ceiling must be raised via a bilateral modification (Correct answer)
- The contractor absorbs the additional cost
Correct answer: The ceiling must be raised via a bilateral modification
The IDIQ contract ceiling can only be raised through a bilateral modification signed by both the government and contractor.
Question 4: A COR identifies work that appears to fall within the general scope of the contract but was not explicitly described in the SOW. What should the COR do first?
- Direct the contractor to perform the work immediately
- Document the potential in-scope work and notify the CO for a determination (Correct answer)
- Issue a written memorandum authorizing the work
- Deny the work as out-of-scope
Correct answer: Document the potential in-scope work and notify the CO for a determination
The COR must document the situation and refer it to the CO, who has the authority to determine scope and issue any needed modification.
Question 5: Which FAR clause gives the government the right to order changes within the general scope of a contract without the contractor's prior consent?
- FAR 52.243-1 (Changes – Fixed-Price) (Correct answer)
- FAR 52.212-4 (Contract Terms – Commercial)
- FAR 52.215-2 (Audit and Records)
- FAR 52.222-26 (Equal Opportunity)
Correct answer: FAR 52.243-1 (Changes – Fixed-Price)
FAR 52.243-1, the Changes clause for fixed-price contracts, grants the government unilateral authority to direct changes within scope.
Question 6: A contractor submits a Request for Equitable Adjustment (REA) claiming costs for a government-directed change. The COR's role in this process is to:
- Negotiate and settle the REA directly with the contractor
- Provide the CO with technical facts and documentation supporting or refuting the claim (Correct answer)
- Reject the REA if it was not pre-approved
- Approve partial payment on the REA amount
Correct answer: Provide the CO with technical facts and documentation supporting or refuting the claim
The COR supports the CO by providing technical data, timelines, and documentation—settlement authority rests solely with the CO.
Question 7: A modification changes the period of performance but does not alter the price or scope of work. This is most accurately described as a(n):
- Cardinal change
- Administrative change (Correct answer)
- Constructive change
- Termination for convenience
Correct answer: Administrative change
Administrative changes make non-substantive adjustments (such as period of performance, addresses, or CAGE codes) without altering scope or price.
COR Modifications & Change Orders 2
A contractor performs extra work based on the COR's verbal direction before a modification is issued.
Which doctrine may allow the government to be bound by this unauthorized commitment?