Ratifications and the 30 day Prompt Pay Clock

Generally, unless the parties already signed an otherwise proper contract or modification that must be ratified because the CO lacked authority, upon ratification the CO must prepare a contract or modification and the parties must sign it appropriately. The contract must conform with the law in all respects and the parties must negotiate a contract price or equitable adjustment. The price or equitable adjustment will not necessarily be the amount that the contractor agreed to with the government employee who made the unauthorized commitment. The CO must negotiate a fair and reasonable price. Once the contract or modification has been signed, the contractor must submit a proper invoice and the 30 day clock begins when that invoice is received by the payment office.

Different agencies use different procedures, so what really happens might vary from what I described. See, e.g., the Department of Commerce FAR supplement, 48 CFR 1301.602-3, which prescribes the use of a "Ratification Release." I don't know what the payment process is in that case. See also the Environmental Protection Agency FAR supplement.