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FAR Clause ACTIVE

52.203-3

Gratuities.
View on acquisition.gov · View on eCFR.gov
Effective Date
APR 1984
Active Deviations
2
Versions
1 (since 2017-01-01)
RFO
RFO Version Available

The Revolutionary FAR Overhaul has published a revised version of this clause. The RFO version supersedes the eCFR text below for contracts using the RFO model; see the RFO deviation for applicability.

View RFO version
DEV
This clause is modified by 2 active class deviations
  • 2026-O0028 — DFARS RFO Implementation (Part 12)
  • 2026-O0023 — DFARS RFO Implementation (Part 37)
    Add clause 52.203-3
View per-deviation details →
52.203-3 Gratuities.

As prescribed in 3.202, insert the following clause:

Gratuities (APR 1984)

(a) The right of the Contractor to proceed may be terminated by written notice if, after notice and hearing, the agency head or a designee determines that the Contractor, its agent, or another representative—

(1) Offered or gave a gratuity (e.g., an entertainment or gift) to an officer, official, or employee of the Government; and

(2) Intended, by the gratuity, to obtain a contract or favorable treatment under a contract.

(b) The facts supporting this determination may be reviewed by any court having lawful jurisdiction.

(c) If this contract is terminated under paragraph (a) above, the Government is entitled—

(1) To pursue the same remedies as in a breach of the contract; and

(2) In addition to any other damages provided by law, to exemplary damages of not less than 3 nor more than 10 times the cost incurred by the Contractor in giving gratuities to the person concerned, as determined by the agency head or a designee. (This subparagraph (c)(2) is applicable only if this contract uses money appropriated to the Department of Defense.)

(d) The rights and remedies of the Government provided in this clause shall not be exclusive and are in addition to any other rights and remedies provided by law or under this contract.

(End of clause)

[48 FR 42478, Sept. 19, 1983, as amended at 61 FR 39200, July 26, 1996]
RFO
Prescription superseded under the RFO

The prescription shown below is from the codified eCFR. The Revolutionary FAR Overhaul relocates this clause's prescription as follows:

  • 227.7009-1212.205 (prescriptive text also revised)
  • 237.7204PGI 237.7204 (prescriptive text also revised)

See the deviation memorandum for the current prescription authority.

View deviation: 2026-O0028 → · View deviation: 2026-O0023 →

R-DFARS Prescription Source

This clause is prescribed in the R-DFARS by the following deviation:

  • 2026-O0023 — DFARS RFO Implementation (Part 37) (DFARS Part 237)
    Add clause 52.203-3
3.202
The contracting officer shall insert the clause at 52.203-3, Gratuities, in solicitations and contracts with a value exceeding the simplified acquisition threshold, except those for personal services and those between military departments or defense agencies and foreign governments that do not obligate any funds appropriated to the Department of Defense.
Prescription data sourced from eCFR as of 2026-06-10 03:16 UTC. Cross-references within the prescription are not resolved automatically.

Regulatory Stack

The layers of regulation that govern this clause, from the FAR prescription through agency-specific supplements and any active deviations.

RFO RFO Version Overhauled clause text
The Revolutionary FAR Overhaul publishes a revised version of this clause. See the RFO Version tab for the controlling authority under the RFO model.

Search on acquisition.gov

R-DFARS R-DFARS Prescription Per Deviation 2026-O0023 (DFARS Part 237)
2026-O0023: DFARS RFO Implementation (Part 37) — DFARS Part 237

View Deviation 2026-O0023 →

FAR FAR Prescription ⚠ May be superseded by RFO 3.202
The contracting officer shall insert the clause at 52.203-3, Gratuities, in solicitations and contracts with a value exceeding the simplified acquisition threshold, except those for personal services and those between military departments or defense agencies and foreign governments that do not obligate any funds appropriated to the Department of Defense.

View on acquisition.gov · View on eCFR.gov

Version History

Version history is sourced from the codified eCFR. Changes published only as class deviations or by the Revolutionary FAR Overhaul do not appear here until they are incorporated into the eCFR. For RFO-driven changes see the RFO Version tab and any active deviations cited above.

No version history available from eCFR.

RFO Version

Comparison of the codified eCFR text against the Revolutionary FAR Overhaul revision. Highlights show additions (green) and deletions (red, struck through).

Clause Text

Substantive changes. The RFO version differs materially from the eCFR text.
eCFR (codified)
RFO (implemented)
Unchanged
52.203-3 Gratuities.
eCFR (codified)
RFO (implemented)
4 added, 2 removed
(c)
(c) If this contract is terminated under paragraph (a) above, the Government is entitled—
(c)
(c) If this contract is terminated under paragraph (a) of this clause, the Government is entitled-
1 added, 1 removed
(2)
(2) In addition to any other damages provided by law, to exemplary damages of not less than 3 nor more than 10 times the cost incurred by the Contractor in giving gratuities to the person concerned, as determined by the agency head or a designee. (This subparagraph (c)(2) is applicable only if this contract uses money appropriated to the Department of Defense.)
(2)
(2) In addition to any other damages provided by law, to exemplary damages of not less than 3 nor more than 10 times the cost incurred by the Contractor in giving gratuities to the person concerned, as determined by the agency head or a designee. (This paragraph (c)(2) is applicable only if this contract uses money appropriated to the Department of Defense.)
15 removed
[48 FR 42478, Sept. 19, 1983, as amended at 61 FR 39200, July 26, 1996]
Applied to DoD contracts via Class Deviation 2026-O0028 (effective 2026-02-01), Class Deviation 2026-O0023 (effective 2026-02-01) .

Prescription

Minor revisions. The RFO prescription has formatting or editorial changes from the eCFR prescription.
eCFR (codified)
RFO (implemented)
Unchanged
52.203-3 Gratuities.: Prescription
eCFR (codified)
RFO (implemented)
1 added, 1 removed
The contracting officer shall insert the clause at 52.203-3, Gratuities, in solicitations and contracts with a value exceeding the simplified acquisition threshold, except those for personal services and those between military departments or defense agencies and foreign governments that do not obligate any funds appropriated to the Department of Defense.
The contracting officer must insert the clause at 52.203-3, Gratuities, in solicitations and contracts with a value exceeding the simplified acquisition threshold, except those for personal services and those between military departments or defense agencies and foreign governments that do not obligate any funds appropriated to the Department of Defense.

Source: acquisition.gov RFO Part 52 · Prescribing Part 3

Active Class Deviations

DFARS RFO Implementation (Part 12) Modify clause 52.203-3
MODIFIED
DFARS RFO Implementation (Part 37) Add clause 52.203-3
MODIFIED
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