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Limited Source Justification (LSJ) in accordance with Federal Acquisition Regulation (FAR) 8.4056 and Justification for Other than Full and Open Market Competition (JOTFOC) in accordance with FAR
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48 CFR 8405-6 refers to regulations that set forth the requirements for limiting the cost of contracts, including stipulations for cost control measures and reporting.
Contractors and subcontractors engaged in government contracts that exceed certain thresholds are required to file under 48 CFR 8405-6.
To fill out the form, contractors must provide detailed cost estimates, supporting documentation, and a description of the proposed cost limiting measures.
The purpose is to ensure that contractors manage costs effectively and provide transparency in government funding by limiting expenditures.
Contractors must report estimated costs, actual costs, cost control measures, and any potential risks of overruns.
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