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52.217-4 Evaluation of Option Exercised at Time of Contract Award.

Prescription and Applicability

FAR Prescription, 17.208(b)

(b) Insert a provision substantially the same as the provision at 52.217-4, Evaluation of Options Exercised at Time of Contract Award, in solicitations when the solicitation includes an option clause, the contracting officer has determined that there is a reasonable likelihood that the option will be exercised, and the option may be exercised at the time of contract award.

DFARS Supplementary Guidance, 217.208

Sealed bid solicitations shall not include provisions for evaluations of options unless the contracting officer determines that there is a reasonable likelihood that the options will be exercised (10 U.S.C. 3206(e)). This limitation also applies to sealed bid solicitations for the contracts excluded by FAR 17.200.

Current Text

52.217-4 Evaluation of Option Exercised at Time of Contract Award.

As prescribed in 17.208(b), insert a provision substantially the same as the following:

Evaluation of Options Exercised at Time of Contract Award (JUN 1988)

Except when it is determined in accordance with FAR 17.206(b) not to be in the Government's best interests, the Government will evaluate the total price for the basic requirement together with any option(s) exercised at the time of award.

(End of provision)

[53 FR 17860, May 18, 1988]

Suggested Questions

You can ask your AI assistant:

  • Should I include this provision in my solicitation?
  • Does this clause apply to commercial acquisitions?
  • Does this clause apply to R&D contracts under Part 35?
  • Which alternate should I use for a multiple-award contract?
  • Are there any active Class Deviations that modify this clause?
  • What changed in the most recent amendment?