Novation Agreement
Started by cbates · Mar 13, 2014 · 1 replies
- cOriginal post
cbates
Mar 13, 2014 · 12y ago
Are novation agreements as specified in FAR Subpart 42.12 required for procurments that are less than $25,000? We have an existing Blanket Purchase Agreement (BPA) for services in which a few BPA calls have been placed. Sometime after award of the BPA and BPA calls, the contractor informed the government that the name had changed and had a new DUNS number. The business parternship has ended. The procurement is under the simplified threshold of $150,000.
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Guest Vern Edwards
Mar 14, 2014 · 12y ago
Are novation agreements as specified in FAR Subpart 42.12 required for procurments that are less than $25,000? We have an existing Blanket Purchase Agreement (BPA) for services in which a few BPA calls have been placed.
Not in this case. BPAs like yours are not contracts, so you don't need a novation agreement. Just write a letter canceling the old BPA and issue a new one if you want.
As for the calls already placed, have they been completed? Has the the government paid the contractor?