[Code of Federal Regulations]

[Title 48, Volume 1]

[Revised as of October 1, 2005]

From the U.S. Government Printing Office via GPO Access

[CITE: 48CFR1.602-3]



[Page 17-18]

 

            TITLE 48--FEDERAL ACQUISITION REGULATIONS SYSTEM

 

                CHAPTER 1--FEDERAL ACQUISITION REGULATION

 

PART 1_FEDERAL ACQUISITION REGULATIONS SYSTEM--Table of Contents

 

       Subpart 1.6_Career Development, Contracting Authority, and 

                            Responsibilities

 

Sec. 1.602-3  Ratification of unauthorized commitments.



    (a) Definitions.

    Ratification, as used in this subsection, means the act of approving 

an unauthorized commitment by an official who has the authority to do 

so.

    Unauthorized commitment, as used in this subsection, means an 

agreement that is not binding solely because the Government 

representative who made it lacked the authority to enter into that 

agreement on behalf of the Government.

    (b) Policy. (1) Agencies should take positive action to preclude, to 

the maximum extent possible, the need for ratification actions. Although 

procedures are provided in this section for



[[Page 18]]



use in those cases where the ratification of an unauthorized commitment 

is necessary, these procedures may not be used in a manner that 

encourages such commitments being made by Government personnel.

    (2) Subject to the limitations in paragraph (c) of this subsection, 

the head of the contracting activity, unless a higher level official is 

designated by the agency, may ratify an unauthorized commitment.

    (3) The ratification authority in subparagraph (b)(2) of this 

subsection may be delegated in accordance with agency procedures, but in 

no case shall the authority be delegated below the level of chief of the 

contracting office.

    (4) Agencies should process unauthorized commitments using the 

ratification authority of this subsection instead of referring such 

actions to the General Accounting Office for resolution. (See 1.602-

3(d).)

    (5) Unauthorized commitments that would involve claims subject to 

resolution under the Contract Disputes Act of 1978 should be processed 

in accordance with subpart 33.2, Disputes and Appeals.

    (c) Limitations. The authority in subparagraph (b)(2) of this 

subsection may be exercised only when--

    (1) Supplies or services have been provided to and accepted by the 

Government, or the Government otherwise has obtained or will obtain a 

benefit resulting from performance of the unauthorized commitment;

    (2) The ratifying official has the authority to enter into a 

contractual commitment;

    (3) The resulting contract would otherwise have been proper if made 

by an appropriate contracting officer;

    (4) The contracting officer reviewing the unauthorized commitment 

determines the price to be fair and reasonable;

    (5) The contracting officer recommends payment and legal counsel 

concurs in the recommendation, unless agency procedures expressly do not 

require such concurrence;

    (6) Funds are available and were available at the time the 

unauthorized commitment was made; and

    (7) The ratification is in accordance with any other limitations 

prescribed under agency procedures.

    (d) Nonratifiable commitments. Cases that are not ratifiable under 

this subsection may be subject to resolution as recommended by the 

General Accounting Office under its claim procedure (GAO Policy and 

Procedures Manual for Guidance of Federal Agencies, Title 4, Chapter 2), 

or as authorized by FAR part 50. Legal advice should be obtained in 

these cases.



[53 FR 3689, Feb. 8, 1988, as amended at 60 FR 48225, Sept. 18, 1995]