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52.228-13Alternative Payment Protections.

Researched by the BidStride Research Team

What This Clause Requires

FAR 52.228-13 — Alternative Payment Protections.. This clause is part of the Federal Acquisition Regulation and may be included in government contracts as a solicitation provision or contract clause.

Official Regulation Text

52.228-13 Alternative Payment Protections. As prescribed in 28.102-3(b), insert the following clause: Alternative Payment Protections (JUL 2000) (a) The Contractor shall submit one of the following payment protections: (b) The amount of the payment protection shall be 100 percent of the contract price. (c) The submission of the payment protection is required within __ days of contract award. (d) The payment protection shall provide protection for the full contract performance period plus a one-year period. (e) Except for escrow agreements and payment bonds, which provide their own protection procedures, the Contracting Officer is authorized to access funds under the payment protection when it has been alleged in writing by a supplier of labor or material that a nonpayment has occurred, and to withhold such funds pending resolution by administrative or judicial proceedings or mutual agreement of the parties. (f) When a tripartite escrow agreement is used, the Contractor shall utilize only suppliers of labor and material that signed the escrow agreement. (End of clause) [61 FR 31654, June 20, 1996, as amended at 62 FR 44807, Aug. 22, 1997; 65 FR 46071, July 26, 2000]

Source: eCFR, 48 CFR 52.228-13 (https://www.ecfr.gov/current/title-48/section-52.228-13)

Compliance Checklist

  • As prescribed in 28.102-3(b), insert the following clause: Alternative Payment Protections (JUL 2000) (a) The Contractor shall submit one of the following payment protections: (b) The amount of the payment protection shall be 100 percent of the contract price.
  • (c) The submission of the payment protection is required within __ days of contract award.
  • (d) The payment protection shall provide protection for the full contract performance period plus a one-year period.
  • (f) When a tripartite escrow agreement is used, the Contractor shall utilize only suppliers of labor and material that signed the escrow agreement.

Flow-Down to Subcontractors

No flow-down required

This clause applies only to the prime contract and does not need to be flowed down to subcontractors.

Frequently Asked Questions

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This summary is for informational purposes only and reflects the BidStride Research Team's plain-English interpretation of the regulation. It is not legal advice and does not constitute an attorney-client relationship. Always consult the official Federal Acquisition Regulation (FAR) or Defense Federal Acquisition Regulation Supplement (DFARS) text and qualified legal counsel for compliance decisions.