What is Suspension of Government Contractors Definition & Meaning
Suspension Definition and Meaning
Suspension of government contractors usually means that the agency has reasonable evidence to believe that the a contractor or individual has created some level of risk to taxpayer dollars.
The U.S. Congress has the underlying responsibility to make sure that taxpayer dollars are spent well when it comes to federal government contracts.
Therefore, when figuring out what is suspension of government contractors, it simply means that there is an immediate need for the contracting agency to put a temporary mean in place.
The reasons for suspension of defense contractors r individual could be for a pending criminal investigation or an ongoing criminal case.
This level of administrative exclusion of defense contractors from doing business with the federal government should serve as a temporary measure.
Per FAR 9.405, Contractors debarred, suspended, or proposed for debarment are excluded from receiving contracts, and agencies shall not solicit offers from, award contracts to, or consent to subcontracts with these contractors, unless the agency head determines that there is a compelling reason for such action.
Notwithstanding the debarment, suspension, or proposed debarment of a contractor, agencies may continue contracts or subcontracts in existence at the time the contractor was debarred, suspended, or proposed for debarment unless the agency head directs otherwise.
Suspension
- Immediate Need
- A temporary measure; there is a twelve month limit
- Usually used pending the completion of investigation or legal proceedings
- Based upon adequate evidence, usually an indictment
If you or your company receives a notice of proposed suspension or debarment from government contracts, call our suspension and debarment lawyers for immediate help at 1-866-601-5518.