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This document contains comments and recommendations from the Section of Public Contract Law of the American Bar Association regarding the Defense Federal Acquisition Regulation Supplement (DFARS)

How to fill out request for equitable adjustment

Point by point, here's how you can fill out a request for equitable adjustment:

1. Start by gathering all relevant documents and information. This includes the contract or agreement, any supporting documentation, correspondence, and any other evidence of the change or impact that has led to the need for an adjustment.
2. Clearly state the reasons for the request. Provide a detailed explanation of the change in circumstances, events, or facts that have caused the need for an adjustment. Include all relevant details and be sure to explain how these changes have impacted your ability to perform or fulfill the original terms of the contract.
3. Identify any specific clauses or provisions within the contract that support your request. This could include provisions related to changes, modifications, or unforeseen circumstances. Refer to these provisions and explain how they apply to your situation.
4. Provide a thorough breakdown of the costs or damages incurred as a result of the change or impact. Include all relevant financial details such as the additional expenses, lost profit or revenue, additional labor costs, and any other financial implications. Be sure to support these costs with documentation such as invoices, receipts, or financial statements.
5. Explain why an equitable adjustment is the appropriate remedy. Emphasize the fairness and reasonableness of your request based on the circumstances and the impact on your performance. Highlight any legal or contractual obligations that support the need for an adjustment.
6. Conclude the request by summarizing the main points and reiterating the need for an equitable adjustment. Make sure to include contact information and any other supporting documents that may be necessary or helpful in reviewing your request.

Now, who needs a request for equitable adjustment? Generally, it is relevant for parties involved in contractual agreements where unforeseen circumstances, changes, or impacts have affected the original terms of the contract. This can include contractors, subcontractors, suppliers, or any other parties performing under the contract. The need for a request for equitable adjustment arises when one party seeks compensation or adjustment to the contract terms due to these unforeseen circumstances or changes.

People Also Ask about

What is the difference between Dau Rea and claim?

An REA must be certified if it is submitted to the Department of Defense, regardless of the dollar amount submitted. A Claim however, must be certified if the claim amount exceeds $100,000 and must additionally include specific wording and a signature by an authorized company official.

What is a constructive change?

A constructive change is an adjustment to a project's scope of work caused by the activity or inactivity of the project owner. Constructive changes can be caused by: Misinterpretation of the contract. Faulty specifications.

What is the economic price adjustment?

increases or decreases from an agreed-upon level in published or otherwise established prices of specific items or the contract end items. based on increases or decreases in specified costs of labor or material that the contractor actually experiences during contract performance.

What is an REA in finance?

Resources, events, agents (REA) is a model of how an accounting system can be re-engineered for the computer age. REA was originally proposed in 1982 by William E. McCarthy as a generalized accounting model, and contained the concepts of resources, events and agents (McCarthy 1982).

What is a claim in rea?

FAR 2.101 defines a claim as a “written demand or written assertion by one of the contracting parties, seeking, as a matter of right, the payment of money in a sum certain, the adjustment or interpretation of contract terms, or other relief arising under or relating to a contract.” Superficially, this definition

What is the request for equitable adjustment process?

REAs are typically used in contracting, but can apply to anyone involved with U.S. Government contracts. REAs are especially applicable to DoD acquisition programs, where contracting officers execute contracts of significant amounts to support those programs.

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What is request for equitable adjustment?

A request for equitable adjustment (REA) is a formal proposal made by a contractor to adjust the contract terms, usually regarding changes in costs or time, resulting from unforeseen circumstances during project execution.

Who is required to file request for equitable adjustment?

Typically, contractors or subcontractors who encounter unexpected challenges or changes to the contract terms are required to file a request for equitable adjustment to seek compensation or an extension of time.

How to fill out request for equitable adjustment?

To fill out a request for equitable adjustment, provide details about the original contract, outline the changes or issues experienced, state the reasons for the request, include supporting documentation, and specify the desired adjustment in costs or completion time.

What is the purpose of request for equitable adjustment?

The purpose of a request for equitable adjustment is to formally seek a fair adjustment to contract terms when unexpected events occur, ensuring that contractors are compensated for additional costs or delays that are not their fault.

What information must be reported on request for equitable adjustment?

Information that must be reported includes the contract number, a description of the change or issue, an explanation of why the adjustment is necessary, supporting evidence (like cost estimates and schedules), and the specific adjustment being requested.