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GSAR 552.238-81 Price Reductions Exemptions


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Does the below exemption to GSAR 552.238-81 include all commercial FFP contracts above the maximum order threshold or only awards under the GSA MAS?

           (1)  To commercial customers under firm, fixed-price definite quantity contracts with specified delivery in excess of the maximum order threshold specified in this contract;

 

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On 4/30/2021 at 7:34 AM, KB1982 said:

Does the below exemption to GSAR 552.238-81 include all commercial FFP contracts above the maximum order threshold or only awards under the GSA MAS?

           (1)  To commercial customers under firm, fixed-price definite quantity contracts with specified delivery in excess of the maximum order threshold specified in this contract;

 

I don't think GSA MAS contracts are definite quantity contracts.

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KB1982, there’s no price reduction triggered under the clause for commercial fixed price definite quantity contracts over the threshold.  From the rest of your question, I don’t think you understand the clause.  The clause protects the governments basis for price negotiation under the MAS contract.  If you sell with discounts other than what you disclosed during negotiation, the price reduction clause kicks in.  There are some exceptions and the one you cited for commercial contracts is one.

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