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532.904 Determining payment due dates.

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532.904 Determining payment due dates.

532.904 Determining payment due dates.

Payment due dates for construction contracts are addressed at FAR 32.904(d). The following procedures apply to construction and building service contracts:

      (a)  The amount of final payment must include, as appropriate, deductions to cover any of the following:

           (1)  Liquidated damages for late completion.

           (2)  Liquidated damages for labor violations.

           (3)  Amounts withheld for improper payment of labor wages.

           (4)  The amount of unilateral change orders covering defects and omissions.

           (5)  The agreed-upon dollar amount in a Deficiency Report, which is included in all applicable Operation and Maintenance (O&M) service contracts.

      (b)  When the contract is for the performance of building services, the contracting officer shall include the clause at 552.232-72, Final Payment Under Building Services Contracts.