Factors Affecting the Recovery of Defective Pricing Claims On Air Force Contracts Members Only Content

On many defense contracts, contractors are required to submit cost or pricing data during negotiations and to certify the data as current, accurate and complete at the conclusion of negotiations. Failure to do so constitutes defective pricing and entitles the government to an appropriate reduction in the contract price along with possible interest and penalties. This study identified the underlying factors that inhibit or facilitate successful recovery of defective pricing funds on Air Force contracts.

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