[{"data":1,"prerenderedAt":-1},["ShallowReactive",2],{"detail-sidebar-cat-1-en-105":3,"doc-seo-280202-105":53,"doc-detail-280202-en":127},{"code":4,"msg":5,"data":6},0,"success",[7,14,19,24,29,34,39,44,49],{"id":8,"doc_module":9,"doc_module_name":10,"category_name":11,"show_sort_weight":12,"slug":13},11,1,"Template","Presentations",90,"presentations",{"id":15,"doc_module":9,"doc_module_name":10,"category_name":16,"show_sort_weight":17,"slug":18},12,"Resumes",80,"resumes",{"id":20,"doc_module":9,"doc_module_name":10,"category_name":21,"show_sort_weight":22,"slug":23},14,"Invoices",70,"invoices",{"id":25,"doc_module":9,"doc_module_name":10,"category_name":26,"show_sort_weight":27,"slug":28},15,"Posters",60,"posters",{"id":30,"doc_module":9,"doc_module_name":10,"category_name":31,"show_sort_weight":32,"slug":33},16,"Social Media",50,"social-media",{"id":35,"doc_module":9,"doc_module_name":10,"category_name":36,"show_sort_weight":37,"slug":38},17,"Forms",40,"forms",{"id":40,"doc_module":9,"doc_module_name":10,"category_name":41,"show_sort_weight":42,"slug":43},18,"Letters",30,"letters",{"id":45,"doc_module":9,"doc_module_name":10,"category_name":46,"show_sort_weight":47,"slug":48},21,"Paper Templates",5,"papers-templates",{"id":50,"doc_module":9,"doc_module_name":10,"category_name":51,"show_sort_weight":4,"slug":52},158,"General","general-158",{"code":4,"msg":54,"data":55},"ok",{"site_id":56,"language":57,"slug":58,"title":59,"keywords":60,"description":61,"schema_data":62,"social_meta":120,"head_meta":122,"extra_data":124,"updated_unix":126},105,"en","default-and-convenience-terminations-termination-for-default-overview-and-appeal-cases","DEFAULT AND CONVENIENCE TERMINATIONS - Termination for Default - Overview and Appeal Cases","","The text explains two major government contract termination types: termination for default and termination for the government’s convenience. It contrasts their legal triggers, consequences for recovery of costs, and the contractor’s obligations and risks under each. It also summarizes a key legal case affecting how clauses may convert between default and convenience when default is not excusable. The default section further details financial effects, cure and notice procedures, and the right to appeal, including brief dispute examples.",{"@graph":63,"@context":119},[64,80,102],{"@type":65,"itemListElement":66},"BreadcrumbList",[67,71,74,77],{"item":68,"name":69,"@type":70,"position":9},"https://docshare.wps.com","Home","ListItem",{"item":72,"name":10,"@type":70,"position":73},"https://docshare.wps.com/template/",2,{"item":75,"name":41,"@type":70,"position":76},"https://docshare.wps.com/template/letters/",3,{"item":78,"name":59,"@type":70,"position":79},"https://docshare.wps.com/template/default-and-convenience-terminations-termination-for-default-overview-and-appeal-cases/280202/",4,{"url":78,"name":59,"@type":81,"image":82,"author":87,"headline":59,"publisher":90,"fileFormat":93,"inLanguage":57,"description":61,"dateModified":94,"datePublished":95,"encodingFormat":93,"isAccessibleForFree":96,"interactionStatistic":97},"DigitalDocument",{"url":83,"@type":84,"width":85,"height":86},"https://docshare.wps.com/thumbnails/default-and-convenience-terminations-termination-for-default-overview-and-appeal-cases/280202.png","ImageObject",442,249,{"name":88,"@type":89},"นรินทร์","Person",{"url":68,"name":91,"@type":92},"DocShare","Organization","application/pdf","2026-10-24","2026-09-16",true,{"@type":98,"interactionType":99,"userInteractionCount":101},"InteractionCounter",{"@type":100},"ViewAction",9,{"@type":103,"mainEntity":104},"FAQPage",[105,111,115],{"name":106,"@type":107,"acceptedAnswer":108},"What is the difference between termination for default and termination for the government’s convenience?","Question",{"text":109,"@type":110},"Termination for default is exercised due to the contractor’s failure (actual or anticipatory) to perform contractual obligations. Termination for convenience is based on changing requirements, lack of funds, or other reasons the contracting officer determines are in the government’s best interest.","Answer",{"name":112,"@type":107,"acceptedAnswer":113},"What consequences follow a termination for default for the contractor?",{"text":114,"@type":110},"The contractor generally cannot recover costs on undelivered work and must repay applicable progress or advance payments. The contractor may also be liable for excess costs and other damages related to similar supplies and services procured after termination.",{"name":116,"@type":107,"acceptedAnswer":117},"How does a contractor respond if termination for default is being considered?",{"text":118,"@type":110},"The contracting officer notifies the contractor and the contractor should make every effort to remedy the situation or present why it is not at fault. Written notice specifies the failure and provides a cure period (often ten days), after which formal termination notice may follow if negotiations do not change the outcome.","https://schema.org",{"og:url":78,"og:type":121,"og:title":59,"og:site_name":91,"og:description":61},"article",{"robots":123,"canonical":78},"index,follow",{"doc_id":125,"site_id":56},280202,1790055529,{"code":4,"msg":5,"data":128},{"doc_id":125,"user_id":129,"nickname":88,"user_avatar":130,"doc_module":9,"category_id":40,"category_name":41,"doc_title":59,"doc_description":61,"doc_content":131,"file_id":132,"file_url":133,"file_type":134,"file_size":135,"view_count":101,"is_deleted":4,"is_public":9,"is_downloadable":9,"audit_status":9,"page_count":20,"language":136,"language_code":57,"site_id":56,"html_lang":57,"table_of_contents":137,"faqs":138,"seo_title":139,"seo_description":61,"update_tm":140,"read_time":47},2336475104957,"https://ap-avatar.wpscdn.com/avatar/22000c4c6bd8a5076e1?x-image-process=image/resize,m_fixed,w_180,h_180&k=1787554080175789136","# TERMINATION FOR DEFAULT AND FORCONVENIENCE OF THEGOVERNMENT\n\nEDWIN P.JAMES*  \nIt would be most inappropriate to discuss government contractswithout covering an item that is a living possibility with every con-tract--termination.Although terminations do not of themselves auto-matically result in a dispute case,they are of such a complex andcontroversial nature that appeals by contractors to the Armed ServicesBoard of Contract Appeals and to other tribunals are frequently made.Therefore,although this article will deal basically with regulationscovering the two major types of termination—for default and for con-venience of the government—it will also make frequent reference toappeal cases in other categories.  \nFirst,we need to distinguish between the two major types ofterminations which are handled in entirely different ways.Terminationfor default is generally the exercise of a contractual right of the govern-ment or prime contractor to terminate the contract in whole or in partby reason of the contractor's failure,actual or anticipatory,to performits obligations under the contract.Termination for the convenience ofthe government,on the other hand,is a contractual right to terminatethe contract in whole or in part due to requirements no longer existingfor the products being procured,to a lack of funds,to advances in thestate of the art rendering obsolete the product covered by the contractor for any other reason the contracting officer determines is in the bestinterest of the government.  \nBefore describing in detail the two types of termination,it is ofinterest to note the Klein case,²which was an action against theUnited States for alleged wrongful termination for default of a militarysupply contract.The court allowed damages of $233,295.32 on thegrounds that evidence indicated the contractor was not in default.Itfurther ruled that,since the contractor was not in default,the termina-tion could not become one for convenience as that would only applyunder the terms of the contract if the contractor's default were ex-cusable.As a result of this decision,the government gave strong con-sideration to combining the default and convenience termination clausesto avoid any such future court actions.However,it was finallydetermined to remedy the situation,from the government's viewpoint,  \nBOSTON COLLEGE INDUSTRIAL AND COMMERCIAL LAW REVIEW  \nby revising the default clauses³to indicate that if the contractor werenot in default or if the default were excusable,the termination wouldautomatically become one for convenience.  \n## TERMINATION FOR DEFAULT\n\nUnder termination for default,a contractor may not recover itscosts on undelivered work and must repay any progress or advance pay-ments applicable to such work.Furthermore,the contractor is liable tothe government for any excess costs for supplies and services procuredsimilar to those terminated and for any other damages.The govern-ment may elect to take all or any part of the completed supplies andmanufacturing materials involved for which the contractor is paid.  \nIt is obvious from the above that termination for default is a harshpenalty indeed,so that all contractors should take every step possibleto avoid such a situation.It will prove advantageous to the contractorto have completely documented files when dealing in government work(including telephone conversations),as these files may prove invaluablein contesting a termination for default.Frequently,too,it can beproved by the contractor that its failure to perform arose out of causesbeyond its control and without its fault or negligence,so that a termina-tion for default should rather be a termination for convenience,inwhich case he may recover allowable costs plus a reasonable profit andnot be subject to repurchase excess costs.  \nMost terminations for default are predicated upon the contractor'sfailure to make timely deliveries,but they may also be for failure toperform services required within the time specified in the contract,f","cbCaivIuABwqiWyM","https://ap.wps.com/l/cbCaivIuABwqiWyM","pdf",637862,"English","# TERMINATION FOR DEFAULT AND FORCONVENIENCE OF THE GOVERNMENT\n## TERMINATION FOR DEFAULT\n## Termination for Default Upheld","[{\"question\":\"What is the difference between termination for default and termination for the government’s convenience?\",\"answer\":\"Termination for default is exercised due to the contractor’s failure (actual or anticipatory) to perform contractual obligations. Termination for convenience is based on changing requirements, lack of funds, or other reasons the contracting officer determines are in the government’s best interest.\"},{\"question\":\"What consequences follow a termination for default for the contractor?\",\"answer\":\"The contractor generally cannot recover costs on undelivered work and must repay applicable progress or advance payments. The contractor may also be liable for excess costs and other damages related to similar supplies and services procured after termination.\"},{\"question\":\"How does a contractor respond if termination for default is being considered?\",\"answer\":\"The contracting officer notifies the contractor and the contractor should make every effort to remedy the situation or present why it is not at fault. Written notice specifies the failure and provides a cure period (often ten days), after which formal termination notice may follow if negotiations do not change the outcome.\"}]","DEFAULT AND CONVENIENCE TERMINATIONS - Termination for Default - Overview and Appeal Cases | PDF",1789534947]