48 C.F.R. § 9.407-1

9.407-1 General.

Read at: eCFRecfr.gov CornellLII GovInfogovinfo.gov CasesGoogle Scholar

(a) The suspending and debarring official may, in the public interest, suspend a contractor for any of the causes in 9.407-2, using the procedures in 9.407-3.

(b)(1) Suspension is a serious action to be imposed on the basis of adequate evidence, pending the completion of an investigation or legal proceedings, when it has been determined that immediate action is necessary to protect the Government's interest. In deciding whether immediate action is necessary to protect the Government's interest, the suspending and debarring official has wide discretion. The suspending and debarring official may infer the necessity for immediate action to protect the Government's interest either from the nature of the circumstances giving rise to a cause for suspension or from potential business relationships or involvement with a program of the Federal Government. In assessing the adequacy of the evidence, agencies should consider how much information is available, how credible it is given the circumstances, whether or not important allegations are corroborated, and what inferences can reasonably be drawn as a result. This assessment should include an examination of basic documents such as contracts, inspection reports, and correspondence. An indictment or other official findings by Federal, State, or local bodies that determine factual and/or legal matters, constitutes adequate evidence for purposes of suspension actions.

(2) The existence of a cause for suspension does not necessarily require that the contractor be suspended. The suspending and debarring official should consider the seriousness of the contractor's acts or omissions and may, but is not required to, consider remedial measures, mitigating factors, or aggravating factors, such as those in 9.406-1(a). A contractor has the burden of promptly presenting to the suspending and debarring official evidence of remedial measures or mitigating factors when it has reason to know that a cause for suspension exists. The existence or nonexistence of any remedial measures or aggravating or mitigating factors is not necessarily determinative of a contractor's present responsibility.

(c) Suspension constitutes suspension of all divisions or other organizational elements of the contractor, unless the suspension decision is limited by its terms to specific divisions, organizational elements, or commodities. The suspending and debarring official may extend the suspension decision to include any affiliates of the contractor if they are—

(1) Specifically named; and

(2) Given written notice of the suspension and an opportunity to respond (see 9.407-3(c)).

(d) A contractor's suspension shall be effective throughout the executive branch of the Government, unless the agency head or a designee (except see 26.505(e)) states in writing the compelling reasons justifying continued business dealings between that agency and the contractor.

(e)(1) When the suspending and debarring official has authority to suspend contractors from both contracts pursuant to the Federal Acquisition Regulation in this chapter and contracts for the purchase of Federal personal property pursuant to Federal Management Regulation (FMR) in 41 CFR part 102-38, that official shall consider simultaneously suspending the contractor from the award of acquisition contracts and from the purchase of Federal personal property.

(2) When suspending a contractor from the award of acquisition contracts and from the purchase of Federal personal property, the suspension notice shall so indicate and the appropriate FAR and FMR citations shall be included.

[48 FR 42142, Sept. 19, 1983, as amended at 54 FR 4968, Jan. 31, 1989; 54 FR 19816, May 8, 1989; 56 FR 67130, Dec. 27, 1991; 59 FR 67033, Dec. 28, 1994; 84 FR 19845, May 6, 2019; 89 FR 30237, Apr. 22, 2024; 90 FR 514, Jan. 3, 2025]

Notes of Decisions

Cited in 6 cases, 1986–2001 · leading case: Com. Drapery Contractors, Inc. v. United States, 133 F.3d 1 (D.C. Cir. 1998).

Sort: Relevance Newest Treatment

Com. Drapery Contractors, Inc. v. United States, 133 F.3d 1 (D.C. Cir. 1998). “2 See 48 C.F.R. § 9.407-1 (a), -2(a)(1). The controlling regulation, 48 C.”

United States of Am., Ex Rel. Leocadio Barajas v. United States v. Northrop Corp., 258 F.3d 1004 (9th Cir. 2001). “See 48 C.F.R. § 9.407-1 et seq. Under the Agreement, Northrop agreed to provide FDTs containing damping fluid that met the contractual specifications, and to provide certain cash payments.”

IMCO, Inc. v. United States, 33 Fed. Cl. 312 (Fed. Cl. 1995). “Cuthbert’s debarment analysis is that it does not reflect consideration of its “present responsibility” at the time of debarment, as is contemplated by 48 C.F.R. §§ 9.407-1 (a) and 9.406-2(c). IMCO argues its debarment is based only on a limited number of MICOM contracts, and…”

James Merritt & Sons v. Marsh, 791 F.2d 328 (4th Cir. 1986). “This "adequate evidence" requirement, when coupled with the provisions for notice and the opportunity to submit argument and evidence in opposition to the suspension, serves to protect the due process rights of contractors. By the terms of the rule, an indictment for fraud is…”

JDL Constr., Inc. v. United States, 14 Cl. Ct. 825 (Ct. Cl. 1988). “48 CFR Section 9.407-1(b). Section 9.407-2(b) provides that an indictment for commission of fraud or a criminal offense in connection with a public contract or subcontract; violation of Federal or State antitrust statutes relating to the submission of offers; commission of…”

Coleman Am. Moving Servs., Inc. v. Weinberger, 716 F. Supp. 1405 (M.D. Ala. 1989). · cites it 2× “The suspension procedures governing Army contractors are set forth in plain language at 48 C.F.R. §§ 9.407-1 through 9.407-5. A contractor may be suspended upon adequate evidence that the suspension is in the public interest.”

— 48 C.F.R. § 9.407-1(b) — 2 cases

Annotations are extracted automatically from the opinions in the Syfert caselaw corpus and ranked by authority, recency, and treatment. Dots show Syfertize treatment of the citing case itself.