[Code of Federal Regulations]
[Title 48, Volume 1]
[Revised as of October 1, 2003]
From the U.S. Government Printing Office via GPO Access
[CITE: 48CFR9.405-1]

[Page 154]
 
            TITLE 48--FEDERAL ACQUISITION REGULATIONS SYSTEM
 
                CHAPTER 1--FEDERAL ACQUISITION REGULATION
 
PART 9_CONTRACTOR QUALIFICATIONS--Table of Contents
 
          Subpart 9.4_Debarment, Suspension, and Ineligibility
 
Sec.  9.405-1  Continuation of current contracts.

    (a) Notwithstanding the debarment, suspension, or proposed debarment 
of a contractor, agencies may continue contracts or subcontracts in 
existence at the time the contractor was debarred, suspended, or 
proposed for debarment unless the agency head or a designee directs 
otherwise. A decision as to the type of termination action, if any, to 
be taken should be made only after review by agency contracting and 
technical personnel and by counsel to ensure the propriety of the 
proposed action.
    (b) Ordering activities may continue to place orders against 
existing contracts, including indefinite delivery contracts, in the 
absence of a termination.
    (c) Agencies shall not renew or otherwise extend the duration of 
current contracts, or consent to subcontracts, with contractors 
debarred, suspended, or proposed for debarment, unless the agency head 
or a designee authorized representative states, in writing, the 
compelling reasons for renewal or extension.

[54 FR 19815, May 8, 1989, as amended at 59 FR 67033, Dec. 28, 1994]