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FAC Number: 2024-07
Effective Date: 09/30/2024

49.108-1 Subcontractor’s rights.

49.108-1 Subcontractor’s rights.

A subcontractor has no contractual rights against the Government upon the termination of a prime contract. A subcontractor may have rights against the prime contractor or intermediate subcontractor with whom it has contracted. Upon termination of a prime contract, the prime contractor and each subcontractor are responsible for the prompt settlement of the settlement proposals of their immediate subcontractors.

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