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                            42.709-1 Scope.
        
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FAC Number: 2024-03 Effective Date: 02/23/2024
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Subpart42.042.142.242.342.442.542.642.742.842.942.1142.1242.1342.1542.1642.17
Section42.70042.70142.70242.70342.70442.70542.70642.70742.70842.709
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42.709-1 Scope.42.709-1 Scope.       (a) This section implements                         10 U.S.C. 3743                                          and   41 U.S.C.4303. It covers the assessment of penalties against contractors which include unallowable indirect costs in-                                                         (1) Final indirect cost rate proposals; or                                                            (2) The final statement of costs incurred or estimated to be incurred under a fixed-price incentive contract.                                                                             (b) This section applies to all contracts in excess of $800,000, except fixed-price contracts without cost incentives or any firm-fixed-price contracts for the purchase of commercial products or commercial services.    **Parent topic:**  42.709 Penalties for Unallowable Costs.
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