INTRODUCTION

This SALE BY REFERENCE pamphlet contains standard Instructions, Terms and

Conditions normally used in the various methods of surplus and foreign excess

personal property sales conducted by DLA Disposition Services and its principal Sales

Offices worldwide.

The standard Instructions, Terms and Conditions herein will not be published in the

majority of our sales auctions. Instead, the sales auctions will incorporate by reference

those Instructions, Terms and Conditions which are applicable to each sale.

This SALE BY REFERENCE pamphlet supersedes the March 1994 edition. Many

articles contained within this new edition have been changed/modified; therefore,

Bidders are cautioned to read all Instructions, Terms and Conditions carefully. Those

applicable to property located in the United States (herein referred to as Surplus

Property) differ substantially from those applicable to the property located outside of the

United States (herein referred to as Foreign Excess Personal Property).

Special attention should be given, but is not limited to the following clauses:

• Bid Information (Part 1 Article 3)

• Storage Charges/Late Removal Charges (Part 2 Article 29)

• Ali-or-None Bid (Part 3 Article E)

YOU ARE CAUTIONED TO RETAIN THIS PAMPHLET FOR

REFERENCE PURPOSES.

Questions concerning this pamphlet should be directed to DLA Disposition Services,

ATTN: Sales Office, Federal Center, 74 Washington Ave. North, Battle Creek, MI

49037.

FOR THE DIRECTOR

TINA ALDRICH

Director

Customer Support
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PART 1

GENERAL INFORMATION AND INSTRUCTIONS

DRMS FORM 81

OCT 93

1. RECEIPTS

 Receipts for payment are not furnished to 

Purchasers. It is the Purchaser's 

responsibility to ensure that the Government 

has received payment prior to effecting 

removal of property. Property will not be 

released until payment is received. All 

payments must be submitted directly to the 

Sales Office conducting the sale unless the 

Purchaser is instructed otherwise.

2. REFUNDS

 Bid deposit instruments of unsuccessful 

Bidders will be returned. Bid deposits 

submitted in the form of cash will be 

refunded by U.S. Government check. All 

refunds will be made as promptly as 

possible.

3. BID INFORMATION

 Bid Abstracts and List of Successful 

Bidders will be available on our website 

after awards are made. 

4. PAYMENT & REMOVAL OF 

PROPERTY

 Upon the official notice of award (DRMS 

Form 1427), the purchaser is responsible for 

payment in accordance with the terms and 

conditions of the contract. Payments 

processed through Defense Finance 

Accounting Service (DFAS) generally take 

3-5 business days to be cleared. Once 

cleared, a notice will be sent to DLA 

Disposition Service Field Office as an 

official notification that property may be 

released. A DLA Representative will contact 

the purchaser to arrange pick up. Purchasers 

are responsible for making all necessary 

arrangements for the removal of their 

property. When employing the services of 

another party to accomplish removal, 

purchasers are advised to give their agent or 

carrier complete information regarding the 

removal, including weight, packing 

instructions and final contract removal date. 

Purchasers should also maintain close 

contact with their agent or carrier to assure 

that removal is accomplished as prescribed 

under the terms and conditions of their 

contract.

5. COMMON CARRIERS AND PACKING 

CONCERNS

 Upon request, the activity where the 

property is located will provide a list of 

common carriers and packing concerns 

serving that geographic area. This list is 

compiled from local sources and may not be 

complete. The Government does not 

assume responsibility or liability for services 

furnished by any of the firms listed, nor does 

the Government endorse the use or business 

practices of any listed business.
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6. STATE OR USE TAX

 Any sale or use tax imposed by any state, 

country or political subdivision will be paid 

by the Purchaser.

7. EXPORT/IMPORT OF PROPERTY

 Property purchased from the United 

States Government may or may not be 

authorized for export/import from or into 

another country where property is located. 

If export/import is allowed, the Purchaser is 

solely responsible for obtaining required 

clearances or approvals.

8. CUSTOM DUTIES AND TAXES

 Items purchased outside the United States 

may be subject to foreign government taxes, 

duties, or similar charges. Payment of such 

assessments is the responsibility of the 

Purchaser. The Purchaser must provide 

documentation of payment or customs 

clearance to the Sales Office before removal 

of the property will be allowed.

9. ORIGIN OF PROPERTY

 Unless otherwise stated in the Sales 

offering, all items are considered to be of 

United States origin.

10. LAW GOVERNING CONTRACT

 When a contract dispute arises requiring 

consideration of the law, the rights and

obligations of the parties will be determined 

by the law of the United States of America.

11. TRANSLATION 

 Where disagreement exists between the 

English text and a foreign language 

translation of this document, the English text 

will govern.

12. CERTIFICATE OF RELEASE OF A 

MOTOR VEHICLE – STANDARD FORM 

(SF) 97

 An SF97 is not generally issued to 

Purchasers of vehicles sold as scrap or those 

subjected to extensive reclamation or 

cannibalization. However, this document 

can be issued if requested by the Purchaser, 

provided a complete serial number can be 

found on the body or chassis of the vehicle. 

A request for issuance of an SF97 must be 

submitted to DLA Disposition Services or 

Sales Contracting Office for determination 

prior to removal of the property. Such 

requests generally will not be honored after 

removal.

13. TRANSIT OF PROPERTY

 Purchasers of United States Government 

property located in countries other than 

where the Purchaser resides are reminded to 

check host country requirements for removal 

and transit of property. The local Customs 

Office of the host country may require a 

special type of conveyance and posting of 

monetary or other security before release of 

the property from the storage location.

14. SAFETY EQUIPMENT

 Customers must possess and use 

appropriate safety equipment and clothing 

whenever in the operational areas of any 

DLA Disposition Services Site.
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15. JOINT BID

 a. Joint Bids are acceptable if:

 (1) The joint bid and all principles of 

the joint venture are disclosed on the bid 

form (SF114) of the Bidder registration 

(DRMS Form 1581);

 (2) The joint bid does not disregard 

the required CERTIFICATE OF 

INDEPENDENT PRICE 

DETERMINATION clause Part 2, 

Condition 19 of this pamphlet;

 (3) The joint bid does not appear to 

restrict competition. (NOTE: COLLUSIVE 

BIDDING IS ILLEGAL. IT VIOLATES 

THE SHERMAN ANTITRUST ACT, 15 

U.S.C. 1, A FELONY OFFENSE.)

 b. The person signing the bid is certifying 

that they:

 (1) are the person in the organization 

responsible for determining the prices being 

offered in this bid, and that they have not 

participated and will not participate in any 

action contrary to the Certificate of 

Independent Price Determination provision; 

or

 (2) are authorized to act for the 

principals of the Bidder's organization in 

certifying that the principals have not 

participated, and will not participate in any 

action contrary to the Certificate of 

Independent Price Determination.

16. DENIAL OF ACCESS TO DLA 

DISPOSITION SERVICES FACILITIES

 The following individuals and firms are 

prohibited from participating in and 

receiving an award from any sale or entering 

the facilities of this agency:

 a. Those who have committed a 

security trade control violation under a 

surplus or foreign excess sales contract.

 b. Those who are indebted to the 

Government under surplus or foreign excess 

sales contracts.

 c. Those who are either suspended, 

proposed for debarment or debarred by DLA 

Disposition Services, Department of 

Defense (DoD) or any other Executive 

Agency from participation in the Surplus 

and Foreign Excess Sales Program.

 d. Those who are listed in the 

Department of Commerce Excluded Parties 

Lists. 
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PART 2

SALE OF GOVERNMENT PROPERTY GENERAL SALE TERMS AND CONDITIONS

1. INSPECTION

 The Bidder is invited, urged, and 

cautioned to inspect the property prior to 

submitting a bid. Property will be available 

for inspection at the places and times 

specified in the Sale.

2. CONDITION AND LOCATION OF 

PROPERTY

 Unless otherwise provided in the Sale, all 

property listed therein is offered for sale "as 

is" and "where is." Unless otherwise 

provided in the Sale, the Government makes 

no warranty, express or implied, as to 

quantity, kind, character, quality, weight, 

size, or description of any of the property, or 

its fitness for any use or purpose. Except as 

provided in Conditions No. 12 and 14, or 

other special conditions of the Sale, no 

request for adjustment in price or for 

rescission of the sale will be considered. 

This is not a sale by sample. 

3. CONSIDERATION OF BIDS

 a. Unless otherwise provided in the Sale, 

telegraphic or telephonic bids will not be 

considered.

 b. The Bidder agrees that their bid will 

not be withdrawn within the period of time 

specified for the acceptance thereof 

following the opening of bids (60 calendar 

days if no period is specified by the 

Government or by the Bidder, but not less 

than 10 calendar days in any case) and that 

during such period their bid will remain firm 

and irrevocable. The Government reserves 

the right to reject any or all bids, including 

bids under which a Bidder would take unfair 

advantage of the Government or other 

Bidders, to waive any technical defects in 

bids, and unless otherwise specified by the 

Government or by the Bidder, to accept any 

one item or group of items in the bid, when

in the best interest of the Government. 

Unless the Sale otherwise provides, a bid 

covering any listed item must be submitted 

on the basis of the unit specified for that 

item and must cover the total number of 

units designated for that item.

4. FORMS OF BID DEPOSITS/PRE

PAYMENTS

 Unless otherwise provided in the Sale, 

bid deposits/or pre-payments (when required 

by the Sale) and payments shall be in U.S. 

currency or any form of credit instruments 

other than promissory notes, made payable 

on demand in U.S. currency: Provided, that 

uncertified personal or business checks must 

be first party instruments: Provided further, 

that if in connection with any prior sale, the 

Bidder or Purchaser tendered an uncertified 

personal or business check which was not 

paid by the drawee for any reason and the 

Bidder, Purchaser, and the Drawer of the 

check were so notified in writing by the 

selling agency, uncertified personal or 

business checks will not be an acceptable 

form of bid deposit/pre-payment. Bids 

submitted after the effective date specified 
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in the written notification referred to which 

are not accompanied by the property bid 

deposit will be summarily rejected.

5. BID PRICE DETERMINATION

 When bids are solicited on a unit price 

basis, Bidders will insert their unit prices 

and total prices in the space provided for 

each item.

 a. In the event the Bidder inserts a total 

price on the item but fails to insert a unit 

price, the Government will determine the 

unit price by dividing the total price by the 

quantity of the item set out in the Sale. The 

unit price so determined shall be used for the 

purpose of bid evaluation, award, and all 

phases of contract administration.

 b. When bids are solicited on a "lot" 

basis, Bidders should submit a single total 

price in the Total Price Bid column of the 

bid sheet. Bidders should not make any 

entry in the Unit Price Bid column. In the 

event a Bidder submits a total bid price and 

also a unit bid price which are not identical, 

the unit bid price will not be considered.

6. PAYMENT

 The Purchaser agrees to pay for property 

awarded in accordance with the prices 

quoted in the bid. Subject to any adjustment 

made pursuant to other provisions of this 

contract, payment of the full purchase price, 

after applying the total bid deposit/prepayment, if any, must be made within the 

time specified in the Sale and prior to 

delivery of any of the property. If an 

adjustment is made requiring additional 

payment, such payment must be made 

immediately upon notice of adjustment. In 

the absence of any debts owed to the selling 

agency, where the total sum becoming due 

to the Government from the Purchaser on a 

contract awarded to their under the Sale is 

less than the total amount deposited with 

their bid, the difference will be promptly 

refunded, and deposits accompanying bids 

which are not accepted will be promptly 

refunded to the Bidder. No refund or 

demands will be made for any amount less 

than ten dollar ($10).

7. TITLE

 Unless otherwise provided in the Sale, 

title to the property sold shall vest in the 

Purchaser when removal is affected. On all 

motor vehicles and motor-propelled or 

motor-drawn equipment requiring licensing 

by a State motor vehicle regulatory agency, 

a certificate of release, Standard Form 97, 

will be furnished for each vehicle and piece 

of equipment unless otherwise provided in 

the Sale.

8. DELIVERY, LOADING, AND 

REMOVAL OF PROPERTY

 a. Unless otherwise provided in the Sale, 

the Purchaser shall be entitled to obtain the 

property upon full payment with delivery 

being made only from the exact place where 

the property is located within the 

installation. The Purchaser must make all 

arrangements necessary for packing, 

removal, and transportation of property. The 

Government will not act as liaison in any 

fashion between the Purchaser and carrier, 

nor will the Government recommend a 

specific common carrier. Loading will only 
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be performed as set forth in the Sale, and 

unless otherwise provided in the Sale, 

loading will not be performed on Saturdays, 

Sundays, Federal holidays, or any date that 

the installation where the property is located 

is closed. Where it is provided that the 

Government will load, the Government will 

make the initial placement of the property 

on conveyance(s) furnished by the Purchaser 

and the initial placement of the Purchaser's 

conveyance shall be as determined by the 

Government. Unless otherwise provided in 

the Sale, the Government will not block, 

chock, brace, lash, band, or in any other 

manner secure the cargo on such 

conveyance(s) furnished by the Purchaser.

 b. Where it is provided in the Sale that 

the Government will not load or that the 

Purchaser will load, the Purchaser will make 

all arrangements and perform all work 

necessary to effect removal of the property. 

The Purchaser shall remove the property at 

their expense within the period of time 

allowed in the Sale. If the Contracting 

Officer determines that the failure to remove 

the property within the period of time 

originally allowed arose out of causes 

beyond the control and without the fault or 

negligence of the Purchaser, such 

determination shall be documented, and a 

reasonable extension of time for removal 

shall be allowed. Such causes may include, 

but are not restricted to, acts of God or of 

the public enemy, acts of the Government in 

either its sovereign or contractual capacity, 

fires, floods, epidemics, quarantine 

restrictions, strikes, freight embargoes, and 

severe weather. If the Purchaser is permitted 

to remove the property after the expiration 

of the time originally allowed for removal or 

any additional time allowed by the 

Contracting Officer pursuant to this clause, 

the Government, without limiting any other 

rights which it may have, may require the 

Purchaser to pay a reasonable storage 

charge. The Purchaser shall reimburse the 

Government for any damage to Government 

property caused during the removal 

operations by the Purchaser or their

authorized representative.

 c. Items purchased under the Sale will be 

released only to the Purchaser or their

authorized representative. The authorized 

representative must furnish authorization 

from the Purchaser to the Custodian of the 

property location before any delivery of 

release will be made. When property is 

described as being boxed, packed, crated, 

skidded, or in containers, the Government 

does not warrant that the property, as 

packaged, is safe or suitable for shipment.

 d. Segregation, culling, or selection of 

property for the purpose of effecting partial 

or increment removals will not be permitted 

except as specifically authorized and 

prescribed by the Government.

9. DEFAULT

 If, after the award, the Purchaser 

breaches the contract by failure to make 

payment within the time allowed by the 

contract as required by Condition No. 6, or 

by failure to remove the property as required 

by Condition No. 8, then the Government 

may send the Purchaser a 15-day written 

notice of default (calculated from date of 

notification), and upon Purchaser's failure to 
7

cure such default within that period (or such 

further period as the Contracting Officer 

may allow) the Purchaser shall lose all right, 

title, and interest which he/she might 

otherwise have acquired in and to such 

property as to which a default has occurred. 

The Purchaser agrees that in the event 

he/she fails to pay for the property or 

remove the same within the prescribed 

period(s) of time, the Government shall be 

entitled to retain (or collect) as liquidated 

damages a sum equal to the greater of (a) 20 

percent of the purchase price of the item(s) 

as to which the default has occurred, or (b) 

$25, whichever is greater: Provided, That in 

the event of multiple awards of items under 

a single Sales offering, the amount to be 

charged, if the minimum charge provided 

for in (b) above is applicable, shall be 

determined by the total purchase price 

reflected in the award documents: Provided 

further, That the maximum sum which may 

be recovered by the Government as damages 

for failure of the Purchaser to pay for and 

remove the property shall be the formula 

amount. The Government shall specifically 

apprise the Purchaser, either in its original 

notice of default (or in separate subsequent 

written notice), that upon the expiration of 

the period prescribed for curing the default, 

the formula amount will be retained (or 

collected) by the Government as liquidated 

damages. However, if the property was sold 

on a "per lot" basis and the Purchaser 

removes a portion of the lot but fails to 

remove the balance, no portion of the 

purchase price will be refunded. If the 

Purchaser otherwise fails in the performance 

of his/her obligations, the Government may 

exercise such rights and may pursue such 

remedies as are provided by law or under the 

contract.

10. SETOFF OF REFUNDS

 The Bidder or Purchaser agrees that the 

selling agency may use all or a portion of 

any bid deposit/pre-payment or refund due 

him/her to satisfy, in whole or in part, any 

debts arising out of prior transactions with 

the Government.

11. INTEREST

 Notwithstanding any other provision of 

this contract, unless paid within 30 calendar 

days from the date of first written demand, 

all amounts that become payable by the 

Purchaser to the Government under this 

contract shall bear simple interest at the rate 

which has been established by the Secretary 

of the Treasury as provided in Section 12 of 

the Contract Disputes Act of 1978 (Public 

Law 95-563), from the date of first written 

demand until paid.

12. ADJUSTMENT FOR VARIATION IN 

QUANTITY OR WEIGHT

 Unless otherwise provided in the Sale, 

when property is sold by a unit other than 

"weight", the Government reserves the right 

to vary the quantity tendered or delivered to 

the Purchaser by 10 percent; when the 

property is sold by "weight", the 

Government reserves the right to vary the 

weight tendered or delivered to the 

Purchaser by 25 percent. The purchase price 

will be adjusted upward or downward in 

accordance with the unit price and on the 

basis of the quantity or weight actually 

delivered. Unless otherwise specifically 
8

provided in the Sale, no adjustment for such 

variation will be made where property is 

sold on a "price for the lot" basis.

13. WEIGHING, SWITCHING, AND 

SPOTTING

 Where weighing is necessary to 

determine the exact purchase price, the 

Purchaser shall arrange for and pay all 

expenses of weighing the property (unless 

Government scales are available on the 

premises). All switching and spotting 

charges shall be paid by the Purchaser 

unless such services are performed with 

Government-owned or Governmentoperated locomotives on Government 

property. When removal is by truck, 

weighing shall be under the supervision of 

the Government and at its option on: (a) 

Government scales, (b) certified scales, or 

(c) other scales acceptable to both parties.

When removal is by rail, weighing shall be 

on railroad track scales, or by other means 

acceptable to the railroad for freight 

purposes.

14. RISK OF LOSS

 Unless otherwise provided in the Sale, 

the Government will be responsible for the 

care and protection of the property 

subsequent to it being available for 

inspection and prior to its removal. Any 

loss, damage, or destruction occurring 

during such period will be adjusted by the 

Contracting Officer to the extent it was not 

caused directly or indirectly by the 

Purchaser, its agents, or employees. At the 

discretion of the Contracting Officer, the 

adjustment may consist of rescission. With 

respect to losses only, in the event the 

property is offered for sale by the "lot," no 

adjustment will be authorized under this 

provision unless the Government is notified 

of the loss prior to removal from the 

installation of any portion of the lot with 

respect to which the loss is claimed.

15. LIMITATION ON GOVERNMENTS 

LIABILITY

 Except for reasonable packing, loading, 

and transportation costs (such packing, 

loading, and transportation costs being 

recoverable only when a return of property 

at Government cost is specifically 

authorized in writing by the Contracting 

Officer), the measure of the Government's 

liability, in any case where liability of the 

Government to the Purchaser has been 

established, shall not exceed refund of such 

portion of the purchase price as the 

Government may have received.

16. ORAL STATEMENTS AND 

MODIFICATIONS

 Any oral statement or representation by 

any representative of the Government, 

changing or supplementing the Sale or 

contract or any Condition thereof, is 

unauthorized and shall confer no right upon 

the Bidder or Purchaser. Further, no 

interpretation of any provision of the 

contract, including applicable performance 

requirements, shall be binding on the 

Government unless furnished or agreed to, 

in writing, by the Contracting Officer or 

his/her designated representative.
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17. COVENANT AGAINST 

CONTINGENT FEES

 a. The Purchaser warrants that no person 

or agency has been employed or retained to 

solicit or obtain this contract upon an 

agreement or understanding for a contingent 

fee, except a bona fide employee or agency. 

For breach or violation of this warranty, the 

Government shall have the right to annul 

this contract without liability or, in its 

discretion, to deduct from the contract price 

or consideration, or otherwise recover, the 

full amount of the contingent fee.

 b. "Bona fide agency," as used in this 

clause, means an established commercial or 

selling agency, maintained by a Purchaser 

for the purpose of securing business, that 

neither exerts nor proposes to exert improper 

influence to solicit or obtain Government 

contracts nor holds itself out as being able to 

obtain any Government contract or contracts 

through improper influence.

 c. "Bona fide employee," as used in this 

clause, means a person, employed by 

Purchaser and subject to the Purchaser's 

supervision and control as to time, place, 

and manner of performance, who neither

exerts nor proposes to exert improper 

influence to solicit or obtain Government 

contracts nor holds out as being able to 

obtain any Government contract or contracts 

through improper influence.

 d. "Contingent fee," as used in this 

clause, means any commission, percentage, 

brokerage, or other fee that is contingent 

upon the success that a person or concern 

has in securing a Government contract.

 e. "Improper Influence," as used in this 

clause, means any influence that induces or 

tends to induce a Government employee or 

officer to give consideration or to act 

regarding a Government contract on any 

basis other than the merits of the matter.

18. OFFICIALS NOT TO BENEFIT

 No member of or Delegate to Congress, 

or resident commissioner, shall be admitted 

to any share or part of this contract, or to 

any benefit arising from it. However, this 

clause does not apply to this contract to the 

extent that this contract is made with a 

corporation for the corporation's general 

benefit.

19. CERTIFICATE OF INDEPENDENT 

PRICE DETERMINATION

 a. The Purchaser certifies that—

 (1) The prices in this offer have been 

arrived at independently, without, for the 

purpose of restricting competition, any 

consultation, communication, or agreement 

with any other Purchaser or competitor 

relating to (i) those prices, (ii) the intention 

to submit an offer, or (iii) the methods or 

factors used to calculate the prices offered;

 (2) The prices in this offer have not 

been and will not be knowingly disclosed by 

the Purchaser, directly or indirectly, to any 

other Purchaser or competitor before bid 

opening (in the case of a formally advertised 

solicitation) or contract award (in the case of 

a negotiated solicitation) unless otherwise 

required by law; and
10

 (3) No attempt has been made or will 

be made by the Purchaser to include any 

other concern to submit or not to submit an 

offer for the purpose of restricting 

competition.

 b. Each signature on the offer is 

considered to be a certification by the 

signatory that the signatory—

 (1) Is the person in the Purchaser's 

organization responsible for determining the 

prices being offered in this bid or proposal, 

and that the signatory has not participated 

and will not participate in any action 

contrary to subparagraphs (a)(1) through 

(a)(3) above; or

 (2)(i) Has been authorized, in 

writing, to act as agent for the principals in 

certifying that those principals have not 

participated, and will not participate in any 

action contrary to subparagraphs (a)(1) 

through (a)(3) above.

 (ii) As an authorized agent, does 

certify that the principals have not 

participated, and will not participate, in any 

action contrary to subparagraphs (a)(1) 

through (a)(3) above, and

 (iii) As an agent, has not personally 

participated, and will not participate, in any 

action contrary to subparagraphs (a)(1) 

through (a)(3) above.

 c. If the Purchaser deletes or modifies 

subparagraph (a)(2) above, the Purchaser 

must furnish with its offer a signed 

statement setting forth in detail the 

circumstances of the disclosure.

20. ASSIGNMENT OF CONTRACTS

 Any contract awarded under the Sale is 

subject to the provisions of 41 U.S.C. 15 

which generally precludes assignment of 

such contract.

21. CLAIMS LIABILITY

 The Bidder or Purchaser agrees to save 

the Government harmless from any and all 

actions, claims, debts, demands, judgments, 

liabilities, costs and attorneys' fees arising 

out of, claimed on account of, or in any 

manner predicated upon loss of or damage 

to property and injuries, illness or 

disabilities to or death of any and all persons 

whatsoever, including members of the 

general public, or to the property of any 

legal or political entity including State, local 

and interstate bodies, in any manner caused 

by or contributed to by the Bidder or 

Purchaser, its agents, servants, employees, 

or any person subject to its control while in, 

upon or about the sale site and/or the site on 

which the property is located, or while the 

property is in the possession of or subject to 

the control of the Bidder or Purchaser, its 

agents, servants or employees after the 

property has been removed from 

Government control.

22. WITHDRAWAL OF PROPERTY 

AFTER AWARD

 The Government reserves the right to 

withdraw for its use any or all of the 

property covered by this contract, if a bona 

fide requirement for the property develops 

or exists prior to actual removal of the 

property from Government control. In the 
11

event of a withdrawal under this condition, 

the Government shall be liable only for the 

refund of the contract price of the withdrawn 

property or such portion of the contract price 

as it may have received.

23. ELIGIBILITY OF BIDDERS

 The Bidder warrants that he/she is not: 

(a) under 18 years of age; (b) an employee 

of an agency of the Federal Government 

(either as a civilian or as a member of the 

Armed Forces of the United States, 

including the United States Coast Guard, on 

active duty) prohibited by the regulations of 

that agency from purchasing property sold 

hereunder; (c) an agent or immediate 

member of the household of the employee in 

(b), above. For breach of this warranty, the 

Government shall have the right to annul 

this contract without liability.

24. REQUIREMENTS TO COMPLY 

WITH APPLICABLE LAWS AND 

REGULATIONS

 It is the Bidder's responsibility to 

ascertain and comply with all applicable 

Federal, State, local, and multi-jurisdictional 

laws, ordinances, and regulations pertaining 

to the registration, licensing, handling, 

possession, transportation, transfer, export, 

processing, manufacture, sale, use or 

disposal of the property listed in the Sale. 

Purchasers or users of this property are not 

excused from any violation of such laws or 

regulations either because the United States 

is a party to this sale or has had any interest 

in the property at any time.

25. DEFINITIONS

 As used herein, the following terms shall 

have the meaning set forth below:

 a. "Telegraphic bid" and "telegraphic 

notice" include bids and notices by telegram 

or by mailgram.

 b. "Contracting Officer" means the 

person accepting the bid in whole or in part 

on behalf of the Government, and any other 

officer or civilian employee who is a 

properly designated Contracting Officer; and 

includes, except as otherwise provided in 

this contract, the authorized representative 

of a Contracting Officer acting within the 

limits of the representative's authority.

 c. A "small business concern" for the 

purpose of the sale of Government-owned 

property is a concern which can qualify 

under the small business classification 

criteria referenced in 13 CFR § 121.3-9.

26. PRIVACY ACT NOTICE

 In accordance with the Privacy Act (5 

U.S.C. 552a), the following notice is 

provided: The information requested on this 

form is collected pursuant to section 31001 

of the Debt Collection Improvement Act of 

1996 (Pub. L. 104-134) for purposes of 

collecting and reporting on any delinquent 

amounts arising under or relating to any 

contract awarded to you as a result of this 

sale. The information collected is 

mandatory. Failure to provide the 

information prior to contract award will 

result in rejection of your bid or offer. 

Routine uses which may be made of the 

collected information are as follows:
12

 1. Disclosure where pertinent in any legal 

proceeding to which GSA is a party before a 

court or administrative body.

 2. Disclosure to the Department of 

Justice, U.S. Attorney, or the Department of 

Treasury in a proceeding when (a) the 

United States, GSA, a component of GSA, 

or when arising from his/her employment, 

an employee of GSA, is party to litigation or 

anticipated litigation or has an interest in 

such litigation, and (b) GSA determines that 

the disclosure is relevant or necessary in the 

litigation.

 3. Disclosure to a Member of Congress

or a congressional staff member in response 

to an inquiry from that congressional office 

made on behalf of and at the request of the 

individual about whom the record is 

maintained.

 4. Disclosure to any Federal agency 

where the debtor is employed or receiving 

some sort of remuneration for the purpose of 

enabling that agency to collect a debt owed 

the Federal government on GSA's behalf.

 5. In the event a record indicates a 

violation or potential violation of law, 

whether civil, criminal, or regulatory in 

nature, and whether arising by general 

statute or particular program statute or by 

regulation, rule or order issued pursuant 

thereto, disclosure to the appropriate Federal 

agency and/or state or local agencies 

charged with the responsibility of 

investigating or prosecuting such violation 

or charged with enforcing or implementing 

the statute, rule, regulation or order.

 6. Disclosure to a Federal agency in 

response to a request in connection with 

hiring or retention, the letting of a contract, 

or the issuing a license, grant, or other 

benefit.

 7. Disclosure to a debt collection 

contractor or to other Federal agencies for 

the purpose of collecting and reporting on 

delinquent debt.

 8. Disclosure for purposes of debt 

collection, publication or public 

dissemination regarding the identity of 

delinquent non-tax debtors and the existence 

of non-tax debts.

 9. Disclosure to credit reporting 

agencies/credit bureaus for the purpose of 

adding to a credit history file or obtaining a 

credit history file or comparable credit 

history information for use in the 

administration of debt collection.

 10. Disclosure to the Internal Revenue 

Service to: (1) obtain mailing addresses to 

locate a taxpayer to collect a Federal claim 

against the taxpayer; or (2) offset a Federal 

claim against a taxpayer's income tax 

refund.

 11. Disclosure to the Internal Revenue 

Service and applicable state and local 

governments for tax reporting purposes.

 12. Disclosure to banks enrolled in the 

Treasury Credit Card Network to collect 

payment or debt when the individual has 

given his/her credit card number for this 

purpose.
13

 13. Disclosure to Treasury or other 

Federal agencies with which GSA has 

entered an agreement for debt collection 

cross servicing operations to satisfy, in 

whole or in part, debts owed the U.S. 

Government.

 14. Disclosure to Treasury, government 

corporations, state or local agencies, or other 

Federal agencies to conduct computer 

matching programs to identify and locate 

individuals who are receiving Federal 

salaries or benefit payments in order to 

collect the debts by voluntary repayment or 

administrative or salary offset.

 15. Disclosure to the National Archives 

and Records Administration for records 

management inspections.

 16. Disclosure for any other use specified 

by GSA in the system of records entitled 

"Credit Data on Individual Debtors, PPFM7," as published in the Federal Register 

periodically by GSA.

STANDARD FORM 114C

REVISED 4/2001

PRESCRIBED BY GSA FPMR (41 CFR) 

101-45.3
14

PART 2

ADDITIONAL GENERAL SALE TERMS AND CONDITIONS

DRMS FORM 84

OCT 93

27. LAWS AND REGULATIONS

 The Purchaser, its employees and agents 

must identify and comply with all applicable 

Federal, International, State, Department of 

Transportation and local safety and 

environmental statutes, municipal laws, 

ordinances, and regulations applicable to the 

processing, use or disposal of any property 

purchased.

28. PALLETS AND CONTAINERS

 All pallets, skids and containers in or on 

which the property is stored or displayed are 

not for sale and will not be removed unless 

specifically provided in the Sales offering.

29. STORAGE CHARGES

 In accordance with Part 2, Condition 8, 

DELIVERY, LOADING AND REMOVAL 

OF PROPERTY, if the purchaser is allowed 

to remove property after the final removal 

date, as stated on the award document 

(DRMS Form 1427) or any extended date as 

granted by the Sales Contracting Officer, the 

Purchaser will be required to pay storage 

charges.

 Unless otherwise specified in the Sales 

offering, storage charges for each line item 

stored inside will be twelve cents ($.12) per 

hundred pounds, or $.264 per hundred 

kilograms (overseas), per day. Rates for 

outside storage will be six cents ($.06) per 

hundred pounds or $.132 per hundred 

kilograms (overseas) for each line item per 

day. Fractions of hundred weights will be 

rounded up to the nearest hundred weight 

(e.g., 201 pounds = 300 pounds).

 Storage charges will be assessed for all 

property using the estimated or advertised 

weight contained in the item description. 

However, when property is sold by weight, 

storage will be assessed in accordance with 

the actual weight delivered.

 Purchaser will only be assessed storage 

charges for the property actually removed. 

The minimum charge is $10.00 per line 

item.

 Storage charges will not exceed 50 

percent of the total line item price, unless 50 

percent of that total line item price is less 

than the minimum rate. In those instances, 

the minimum rate will apply.

 When storage charges are assessed, 

payment must be made by the Purchaser 

prior to removal of the property unless 

otherwise authorized by the Sales 

Contracting Officer.

 Storage charges will not be assessed for 

Saturdays, Sundays, Federal holidays or any 

day that the installation of DLA Disposition 

Services site is closed, unless otherwise 

specified in the Sales offering.
15

30. LETTERS OF CREDIT

 Letters of credit may be used to support 

uncertified personal or company checks as 

bid deposits or payments, if the letter of 

credit meets all of the following 

requirements:

 a. It must be either an original document 

on bank stationary or clearly state on its face 

that reproductions of the original may be 

considered as an original document.

 b. It must be signed by a bank officer or 

duly authorized representative of the bank.

 c. It must either clearly state that it is a 

letter of credit or otherwise constitute a 

letter of credit under Article 4 of the 

Uniform Commercial Code.

 d. It cannot be revocable.

 e. It must state the name and address of 

the Bidder/Purchaser which is covered by 

the letter of credit.

 f. It must reference the sale number for 

which it is provided.

 g. It must indicate the maximum amount 

guaranteed.

 h. Under terms or letter of credit, drafts 

must be honored at any time they are 

presented.

31. GUARANTEED DESCRIPTIONS

 Despite any other conditions of sale, the 

Government guarantees to the original 

Purchaser that the property will be as 

described in the Sales offering; however:

 a. If a misdescription is determined to 

exist prior to removal of property, the 

Government will:

 (1) Allow the purchaser to sign a 

waiver accepting the property as is, with no 

adjustment made to contract price for that 

item.

 (2) Cancel the item from the contract 

and refund the Purchaser any money the 

Government has already received for the 

item.

 b. If a misrepresentation is determined to 

exist after removal of the property, the 

Government will adjust the price paid for 

the property or any portion thereof 

determined to be misdescribed 

commensurate with the fair market value of 

the property actually received; however:

 (1) No adjustment will be made for 

shortages of property sold by the "lot", and

 (2) No adjustment will be made 

unless the Purchaser notifies the Sales 

Contracting Officer of any misdescription 

by written notice, within 30 calendar days 

after removal of the property (except for 

property purchased overseas for import to 

United States, in which case the Purchaser 

has 60 calendar days from the date of 

removal or 30 calendar days from the date of 

importation, whichever is less). The 

Purchaser must hold the property intact to 

permit inspection or identification by the 

Government. FURTHERMORE, THE

GOVERNMENT DOES NOT WARRANT 

OR GUARANTEE ANY OF THE 

FOLLOWING:
16

 (a) Information in the item 

description pertaining to condition, 

acquisition cost, estimated total weight, 

estimated shipping dimensions, 

manufacturer's part number, Federal Stock 

Number of the property's fitness for any use 

of purpose.

 (b) Estimated "weight" of 

property offered for sale by the "unit" of by 

the "lot".

 (c) Estimated number of "units" 

of property offered for sale by "weight".

 c. Should the Contracting Officer 

determine that a misdescription exists after 

removal of property, regardless of the 

exceptions stated above under this clause, 

the Government will accept return of the 

misdescribed property at the Purchaser's 

expense, to a location specified by the 

Contracting Officer, for a refund of any 

money received for that property, provided 

the Contracting Officer received timely 

notice of the misdescription as stated in 

paragraph b(2) above.

 d. This warranty is in lieu of all other 

guarantees, expressed or implied and all 

other obligations on the part of the 

Government. The Purchaser is not entitled 

to any payment for loss of profits or any 

other monetary damages, special, direct, 

indirect, or consequential. Recovery of any

kind against the Government under this 

provision is limited to a refund of the 

purchase price of the material found to have 

been misdescribed. THE GOVERNMENT 

DOES NOT WARRANTY THE 

MERCHANTABILITY OF THE 

PROPERTY OR ITS FITNESS FOR ANY 

USE OR PURPOSE.

32. NOTICE OF DEBARRED OR 

SUSPENDED CONTRACTORS

 Any contract awarded to an individual or 

firm is voidable, at the option of the 

Government if, at the time of award the 

Purchaser was proposed for debarment, has 

been disbarred, suspended, or for any other 

reason is ineligible to receive a Government 

contract.

33. DISPUTES

 Any contract awarded as a result of this 

sale is subject to the Contract Disputes Act 

1978 (41 U.S.C. 601-613).

34. TIE-IN AND ALL-OR-NONE BID

 Unless specified in the Sales offering, 

qualified, tie-in, all-or-none or combination 

Bid are not acceptable and will be rejected 

as nonresponsive. This includes bid 

conditioned upon the acceptance or 

nonacceptance of Bid on other items. The 

Sales offering may specify that such Bid is

only acceptable for certain items.

35. DEMURRAGE AND OTHER 

STANDBY COSTS

 Whenever the Sales offering specifies 

that the Government will load, the 

Government will not be liable for any costs, 

direct or indirect, incurred by the Purchaser 

because of the Government's failure to load 

property in a timely manner. The only 

remedy for such a failure is an appropriate 

extension of the free removal period. 
17

PART 3

SALE OF GOVERNMENT PROPERTY SPECIAL SEALED BID CONDITIONS

A. BID DEPOSITS

 Where a bid deposit is required by the 

Sale, all bids must be accompanied by such 

deposit in the amount of 20% of the total 

amount bid which must be in the possession 

of the Contracting Officer by the time set for 

bid opening. Bid deposits shall be in the 

form prescribed in Condition No. 4, General 

Sale Terms and Conditions (Standard Form 

114C). Deposit Bond-Individual Sale, Sale 

of Government Personal Property (Standard 

Form 150) properly executed or, when 

provided for in the Sale, reference to an 

approved Deposit Bond-Annual, Sale of 

Government Personal Property (Standard 

Form 151) are acceptable in lieu of the form 

of deposit authorized in Condition No. 4, 

General Sale Terms and Conditions 

(Standard Form 114C). Any bid which is not 

timely supported by an acceptable bid 

deposit may be rejected as nonresponsive. 

Any bid deposit received after bid opening 

will be considered in the same manner as 

late bids.

B. MODIFICATION OR WITHDRAWAL 

OF BIDS

 Bids may be modified or withdrawn by 

written or telegraphic notice and a bid also 

may be withdrawn in person by a bidder or 

his/her authorized representative, provided 

his/her identity is made known and he/she 

signs a receipt for the bid. Where a bid 

deposit is required by the Sale, any 

modification which increases the amount of 

a bid already submitted or which submits 

bids on items not previously bid upon must 

provide for an increased bid deposit.

C. CONSIDERATION OF LATE BIDS, 

MODIFICATIONS, OR WITHDRAWALS

 Bids and modifications or withdrawals 

thereof, must be in the possession of the 

Contracting Officer by the time set for bid 

opening. Any bid, modification, or 

withdrawal received after the time set for 

bid opening will not be considered unless 

received by the Contracting Officer prior to 

award, was mailed (or telegraphed where 

authorized) and in fact delivered to the 

address specified in the Sales offering in 

sufficient time to have been received by the 

Contracting Officer by the time and date set 

forth in the Sale for the bid opening, and, 

except for delay attributable to personnel of 

the sales office or their designees, would 

have been received on time. In no event will 

hand-carried bids or withdrawals be 

considered if delivered to the Contracting 

Officer after the exact time and date set for 

bid opening. However, a modification which 

makes the terms of the otherwise successful 

bid more favorable to the Government will 

be considered at any time it is received prior 

to award and may be accepted.

D. AWARD OF CONTRACT

 The contract will be awarded to that 

responsible Bidder whose bid conforming to 

the Sale will be most advantageous to the 

Government, price and other factors 
18

considered. A written award mailed (or 

otherwise furnished) to the successful 

Bidder within the time for acceptance 

provided in the Sale shall be deemed to 

result in a binding contract without any 

further action by either party.

STANDARD FORM 114C-1

REVISED 4/2001

PRESCRIBED BY GSA FPMR (41 CFR) 

101-45.3
19

PART 3

SALE OF GOVERNMENT PROPERTY SPECIAL SEALED BID CONDITIONS

DRMS FORM 99

OCT 93

ARTICLE E: ALL-OR-NONE-BID

 Unless otherwise specified in the Sales 

offering, all-or-none bids are acceptable on 

this sale. The Sale may limit which items 

are eligible for such Bid. Check the Sale.

 a. Bids may be submitted conditioned 

upon the Government accepting or not 

accepting bids on other line items. Bids 

may also be submitted on an "all-or-none" 

basis.

 b. When an "all-or-none" bid is 

submitted, the Bidder may not submit 

individual bids for the same items. If an "allor-none" bid is submitted along with 

individual item bid(s) and the individual 

item bid cover a part or all the same items of 

the "all-or-none" bid, only the "all-or-none" 

bid will be considered. Those individual 

item bids that are encompassed in the "allor-none" bid will be rejected and not 

considered for individual award.

 c. When an "all-or-none" bid is 

submitted, the Government reserves the 

right for contract administration purposes to 

establish individual line item prices against 

the "all-or-none" bid against the same high 

responsive individual bids received. If no 

other bids were received, the proration will 

be made using what the Government 

considers to be a fair market value for the 

items.

 d. When an "all-or-none" bid is received, 

and the Government has withdrawn any of 

the items involved in the bid, all remaining 

items in the bid cannot be considered for 

award unless the bid is qualified by inserting 

the following language:

 IN THE EVENT THE GOVERNMENT 

WITHDRAWS ANY OF THE ITEMS 

COVERED BY MY "ALL-OR-NONE" 

BID, I DESIRE THE REMAINING ITEMS 

TO BE CONSIDERED ON A PRO RATA 

"ALL-OR-NONE" BASIS.
20

PART 4

SALE OF GOVERNMENT PROPERTY SPECIAL SEALED – TERM CONDITIONS

1. BID DEPOSITS

 All bids must be accompanied by a bid 

deposit which must be in the possession of

the Contracting Officer by the time set for 

bid opening. Bid deposits shall be in the 

form prescribed in Condition No. 4, General 

Sale Terms and Conditions (Standard Form 

114C). Unless otherwise provided in the 

Sale, a bid deposit of 20% of the estimated 

total contract price is required on sales not 

exceeding one year; sales exceeding one 

year's duration will require a bid deposit 

computed at 20% of the total price estimated 

for one year's removal of property. Deposit 

Bond-Individual Sale, Sale of Government 

Personal Property (Standard Form 150), or 

Deposit Bond-Annual, Sale of Government 

Personal Property (Standard Form 151) are 

NOT acceptable as bid deposits. In 

accordance with Condition No. 6 of the 

General Sale Terms and Conditions entitled 

"Payment" (Standard Form 114C), the 20% 

bid deposit submitted by the Purchaser will 

be retained by the Government and applied 

against the last delivery effected under the 

contract. At the option of the successful 

bidder, a Performance Bond (Standard Form 

25) may be substituted by the successful 

bidder for his/her bid deposit at any time 

after notification of award of the contract. 

Any bid which is not timely supported by a 

proper bid deposit may be rejected as 

nonresponsive. Any bid deposit received 

after bid opening will be considered in the 

same manner as late bids.

2. PRE-PAYMENT

 A pre-payment of 20% of the estimated 

total price for one year’s removal of 

property will be required. In accordance 

with Condition No. 4 of the General Sale 

Terms and Conditions entitled “Payment”, 

the 20% pre-payment submitted by the 

Purchaser will be retained by the 

Government and applied against the last 

delivery effected under the contract.

3. MODIFICATION OR WITHDRAWAL 

OF BIDS

 Bids may be modified or withdrawn by 

written or telegraphic notice and a bid also 

may be withdrawn in person by a bidder or 

his/her authorized representative, provided 

his/her identity is made known and he/she 

signs a receipt for the bid. Any bid 

modification which increases the amount of 

a bid already submitted or which submits 

bids on items not previously bid on must 

provide for an increased bid deposit.

4. CONSIDERATION OF LATE BIDS, 

MODIFICATIONS, OR WITHDRAWLS.

 Bids and modifications or withdrawals 

thereof, must be in the possession of the 

Contracting Officer by the time set for bid 

opening. Any bid, modification, or 

withdrawal received after the time set for 

bid opening will not be considered unless 

received by the Contracting Officer prior to 

award, was mailed (or telegraphed where 

authorized) and in fact delivered to the 
21

address specified in the Sales offering in 

sufficient time to have been received by the 

Contracting Officer by the time and date set 

forth in the Sale for the bid opening, and, 

except for delay attributable to personnel of 

the sales office or their designees, would 

have been received on time. In no event will 

hand-carried bids or withdrawals be 

considered if delivered to the Contracting 

Officer after the exact time and date set for 

bid opening. However, a modification which 

makes the terms of the otherwise successful 

bid more favorable to the Government will 

be considered at any time it is received prior 

to award and may be accepted.

5. ADJUSTMENT FOR VARIATION IN 

QUANTITY OR WEIGHT.

 Part 2, Condition No. 12, General Sale 

Terms and Conditions (Standard Form 

114C) is modified to authorize the 

Government to vary the quantity or weight 

delivered by 50% from the quantity or 

weight listed in the Sale.

6. TERMINATION 

 Unless otherwise provided in the Sale, 

this contract may be terminated by either 

party without cost to the Government upon 

30 days' written notice to the other, to be 

calculated from the date the notice is mailed.

7. FAILURE TO PERFORM

 In the event the Purchaser fails to make 

payment as required by Part 2, Condition 

No. 6, General Sale Terms and Conditions 

(Standard Form 114C), or fails to remove 

the property as required by Part 2, Condition 

No. 8, General Sale Terms and Conditions, 

and fails to cure the default within the time 

allowed by the notice given in accordance 

with Part 2, Condition No. 9, General Sale 

Terms and Conditions, the Purchaser will 

lose all right, title and interest which he/she 

might otherwise have acquired in and to the 

property as to which the default occurred 

and said Part 2, Condition No. 9, is modified 

to provide that the Government shall be 

entitled to retain or collect as liquidated 

damages a sum equal to 20% of the contract 

price for the quantity estimated to be 

generated within a 30-day period.

8. AWARD OF CONTRACT

 The contract will be awarded to that 

responsible Bidder whose bid conforming to 

the Sale will be most advantageous to the 

Government, price and other factors 

considered. A written award mailed (or 

otherwise furnished) to the successful 

Bidder within the time for acceptance 

provided in the Sale shall be deemed to 

result in a binding contract without any 

further action by either party.

STANDARD FORM 114C-2

REVISED 4/2001

PRESCRIBED BY GS FPMR (41 CFR) 

101-45.3
22

PART 5

ADDITIONAL SPECIAL CIRCUMSTANCE CONDITIONS – MISCELLANEOUS

DRMS FORM 86

OCT 93

ARTICLE A: SCRAP WARRANTY

 The Purchaser certifies this property is 

being purchased as scrap and will ensure 

scraping is accomplished in a manner that 

prevents recognition or reconstruction. The 

Contracting Officer will be notified prior to 

removal where scrapping will take place. 

Part 2, Condition 7, TITLE, is modified so 

that the title will not transfer until all 

scrapping has been accomplished. If the 

Purchaser fails to scrap the property and 

provide the Contracting Officer with a 

certification of completion within 30 days 

after removal, or any additional time as may 

be provided for or granted by the 

Contracting Officer, the Government may 

elect to default the contract and repossess 

the property. In addition to the provisions 

stipulated under the clause entitled, 

"Default", the Purchaser will be charged 

with all costs incurred by the Government to 

repossess and resell this property.

ARTICLE B: CONVICT LABOR

 In connection with the performance of 

work under this contract, the Purchaser 

agrees not to employ any person undergoing 

sentence or imprisonment except as 

provided by Public Law 89-176, September 

10, 1965 (18 U.S.C. 4082(c)(2)) and 

Executive Order 11755, December 29, 1973.

ARTICLE C: CONTRACT WORK 

HOURS AND SAFETY STANDARDS 

ACT-OVERTIME COMPENSATIONS

 This contract is subject to the following 

provisions and all other applicable 

provisions and exceptions of the Contract 

Work Hours and Safety Standards Act (40 

U.S.C. 37) and the regulations of the 

Secretary of Labor thereunder.

 a. Overtime requirements. No contractor 

or Subcontractor shall require or permit any 

laborer or mechanic to work in excess of 

eight (8) hours per calendar day or forty (40) 

hours a work week on work subject to the 

provisions of this contract. Such laborer or 

mechanic should receive compensation at a 

rate not less than one and one-half times 

their basic rate of pay for all hours worked 

in excess of an eight hour workday or forty 

hour workweek. 

 b. Violation: liability for unpaid wages; 

liquidated damages. When a violation 

occurs regarding the provisions identified 

above, the Contractor and Subcontractor(s) 

responsible thereof shall be liable to the 

affected employee(s) for their unpaid wages. 

In addition the Contractor and

Subcontractor(s) will also be liable to the 

United States for liquidated damages. Such 

liquidated damages shall be computed for 

each laborer or mechanic in violation of the 

provisions identified above at a sum of $10 
23

for each calendar day the employee was 

required or permitted to perform such work 

in excess of eight hours, or a standard 40-

hour week without receiving the overtime 

wages entitled under this article.

 c. Withholding for unpaid wages and 

liquidated damages. The Contracting 

Officer may withhold from the Prime 

Contractor, any money payable for work 

performed by the Contractor or 

Subcontractor(s) which is determined 

necessary to satisfy any liabilities for unpaid 

wage and liquidated damages under this 

article.

 d. Subcontracts. The Contractor shall 

insert the above paragraphs of this clause in 

all subcontracts and shall require their 

inclusion in all subcontracts of any tier.

 e. Records. The Contractor shall 

maintain payroll records containing the 

information specified in 29 CFR 516.5. 

Such records shall be preserved for three 

years from the completion of the contract.

ARTICLE D: LIABILITY AND 

INSURANCE

 a. The Purchaser shall, at no expense to 

the Government and prior to contract 

performance, furnish the Contracting Officer 

with the following Certificates of Insurance, 

effective throughout the term of the contract 

or any extensions thereof.

 (1) Standard Workmen's 

Compensation and Employee's Liability 

Insurance as may be proper under applicable 

State or Federal statutes. The Purchaser 

may however, be self-insured against the 

risk of this subparagraph if it has obtained 

prior approval of the Contracting Officer. 

This approval will be given upon receipt of 

satisfactory evidence that the Purchaser has 

qualified as a self-insurer under the 

applicable provisions of law.

 (2) Bodily Injury Insurance in an 

amount of not less than $50,000 any one 

person and $250,000 any one accident or 

occurrence.

 (3) Property Damage Liability 

Insurance in the amount of $25,000 (which 

shall include any and all property whether or 

not in the care, custody or control of the 

Purchaser).

 b. The Purchaser, during the performance 

of this contract, shall be responsible for and 

shall hold the Government harmless for any 

and all loss of damage to or liability incurred 

with respect to property of every kind and 

description, except as provided in Condition 

14 of the General Sales Terms and 

Conditions (Standard Form 114C) entitled 

"Risk of Loss" whether or not owned by the 

Government. The Purchaser shall also hold 

the Government harmless from bodily injury 

to or death caused either in whole or in part 

by the negligence or fault of the Purchaser, 

its officers, agents or employees in the 

performance of work under this contract.

 c. The general liability and responsibility 

of the Purchaser under this clause are 

subject to the following limitations: The 

Purchaser shall not be responsible to the 

Government for loss, damage, bodily injury 

to or death of persons when the damage, 

injury or death results solely from an act or 
24

omission of the Government, its employees 

or results solely from proper compliance by 

officers, agents or employees of the 

Purchaser when specific written directions 

are provided from the Contracting Officer or 

its authorized representative.

ARTICLE E: PAPER RECORDS AND 

DOCUMENTS

 Paper Records or Documents are offered 

for sale as waste paper only. Therefore, the 

Purchaser represents, warrants and certifies 

to the United States Government that these 

types of items will not be used, offered for 

sale or sold for use as records or documents.

ARTICLE F: PRIVACY ACT 

MATERIALS

 The Purchaser understands and agrees 

that property purchased under this contract 

may contain records previously maintained 

as a system of records subject to the Privacy 

Act, 5 U.S.C. 552 (a). The Purchaser, by 

executing this contract, understands and 

agrees that the Purchaser is subject to the 

Provisions of the Privacy Act and shall 

exercise all care necessary to ensure 

compliance with its provisions with respect 

to the handling and disposal of protected 

information.

ARTICLE G: TIRE REMOVAL

 Despite the provisions in Part 2, 

Condition 8, the Purchaser will be permitted 

to cull, sort and segregate tires. Payments 

shall only be assessed for the weight of 

those tires removed by the Purchaser.

ARTICLE H: RADIO FREQUENCY 

DEVICES

 Some military radio frequency equipment 

does not comply with Federal 

Communications Commission rules and 

specifications or International Post Office 

and other telecommunication authority. Use 

of this equipment could be in violation of 

Federal or International law. Therefore, the 

Purchaser must comply with all pertinent 

rules and regulations under penalty of the 

law in the use, sale or disposition of such 

equipment. Contact the Federal 

Communications Commission for questions 

regarding FCC Law.

 International inquiries should be 

addressed to the applicable foreign country.

ARTICLE I: US MUNITIONS LIST 

(USML) ITEMS 

 a. The Purchaser certifies that none of the 

items identified in the Sales offering and 

listed on its sales contract will be directly or 

indirectly used or disposed of for military 

use or exported unless a full disclosure of 

the origin of the property is made by the 

Purchaser. The disclosure must reference 

the Sales offering and sales contract 

numbers when submitted to the appropriate 

export licensing department or agency.

 b. Despite the provisions of paragraph (a) 

above, US Munitions List Items which do 

not require demilitarization may be sold for 

military or other use to the United States 

Government, its designees and those foreign 

governments or international organizations 

the United States Department of State issues 
25

an export license to, under the International 

Traffic In Arms Regulation (see 22 CFR 

Subchapter M, Part 121, et seq.).

ARTICLE J: COMMERCE CONTROL 

LIST ITEMS

 a. The Purchaser warrants and covenants 

that none of the items identified in the Sales 

offering and listed on its sales contract will 

be directly or indirectly used or disposed of 

for military use or exported unless a full 

disclosure of the origin of the property is 

made by the Purchaser. The disclosure of 

the origin of the property is made by the 

Purchaser. The disclosure must reference 

this Sales offering, sales contract number 

and be submitted to the Office of Export 

Administration.

 The Purchaser understands and agrees 

that the Office of Export Administration 

may require the Purchaser to mutilate the 

property to the extent necessary to preclude 

its use for its originally intended purpose, 

and/or require the Purchaser to have or 

obtain an export license before the property 

may be exported outside of the United 

States, Puerto Rico, American Samoa, 

Guam, the Trust Territory of the Pacific 

Islands or the Virgin Islands.

ARTICLE K: US MUNITIONS AND 

COMMERCE CONTROL LIST ITEM 

(USML/CCLI) COMPLIANCE

 a. The use, disposition, export and 

reexport of this property is subject to all 

applicable United States Laws and 

Regulations, including the Export 

Administration Control Act of 1979 (50 

U.S.C. Appx. 2401, et. Seq.); Arms Export 

Control Act (22 U.S.C. 2751, et. seq.); 

International Traffic in Arms Regulation (22 

C.F.R. 121); and Export Administration 

Regulation (15 C.F.R. 368 et. seq.), which in 

part prohibit:

 (1) Making false statements and 

concealment of any material information 

regarding the use, disposition, export or 

reexport of the property;

 (2) Any use, disposition, export or 

reexport of the property not authorized in 

accordance with the provisions of this 

contract.

 b. Any false information provided and/or 

concealment of any material information 

regarding the use, disposition or export of 

this property may constitute a violation of:

 (1) The provisions of 18 U.S.C. 

1001, which provides a maximum penalty of 

five years imprisonment.

 (2) The provisions of 22 U.S.C. 

2778, which provides a maximum penalty of 

twenty years imprisonment and/or maximum 

fine $1,000,000;

 (3) The provisions of 50 U.S.C. 

Appx. 2410, which provides a maximum 

penalty of ten years imprisonment and/or a 

maximum fine of five times the value of the 

property exported or $1,000,000, whichever 

is greater, and which also provides for 

administrative sanctions, including civil 

penalties of up to $10,000, and the 

revocation of authority to export goods from 

the United States.
26

ARTICLE L: MEDICAL DEVICES

 Purchasers of the medical device items 

identified in the Sales offering shall certify 

and assure in writing that such items shall be 

used or resold only under the conditions 

specified below:

 (a) Medical device items are subject to 

the laws and regulations administered by the 

Food and Drug Administration (FDA) or 

host nation statutes when the property is 

located overseas. Provisions of the 

governing statue, the Federal Food, Drug 

and Cosmetic Act, appear in 21 U.S.C. 301 

et seq.

 In summary, the Act prohibits the 

movement in interstate commerce of 

medical devices that are misbranded or 

altered. The act emphasizes FDA to initiate 

criminal enforcement proceedings against 

companies and/or individuals responsible for 

violations of its provisions. Moreover, the 

Act authorizes FDA to initiate civil 

proceedings to seize or enjoin the 

distribution of such items.

 (b) It shall be the responsibility of the 

Purchaser to comply with local, state or 

other applicable laws.

 (c) The FDA certification, appearing 

elsewhere in the Sales offering, is required 

by FDA for the purchase of the medical 

device items. Provisions of the governing 

International statutes, must be determined by 

the Purchaser and complied with as 

stipulated by the foreign country.
27

PART 6

ADDITIONAL SPECIAL CIRCUMSTANCE CONDITIONS – DEMILITARIZATION 

AND MUTILATION

DRMS FORM 95

OCT 93

ARTICLE A: DEMILITARIZATION OR 

MUTILATION ON GOVERNMENT 

PREMISES

 Property requiring demilitarization or 

mutilation will not be removed from 

Government premises and title will not pass 

to the Purchaser until demilitarization or 

mutilation has been completed by the 

Purchaser and the Contracting Officer, or 

their authorized representative has received 

an approved demilitarization certificate. 

The Purchaser agrees to assume all costs 

associated with the demilitarization or 

mutilation of this property as specified in the 

Sales offering and to restore the working 

area back to the previous condition as it 

appeared before the demilitarization or 

mutilation began. Upon completion of the 

demilitarization or mutilation required by 

the terms of this offering, the Government 

reserves the right to perform additional 

demilitarization or mutilation of the item(s) 

at no cost to the Purchaser.

ARTICLE B: DEMILITARIZATION OR 

MUTILATION ON OTHER THAN 

GOVERNMENT PREMISES

 Property requiring demilitarization or 

mutilation will be shipped in sealed 

container to the processing site where 

demilitarization or mutilation will be 

accomplished by the Purchaser. Title will 

not pass to the Purchaser until 

demilitarization or mutilation has been 

completed and the Contracting Officer or his 

authorized representative has received an 

approved demilitarization certificate. The 

Purchaser agrees to assume all costs 

associated with the demilitarization or 

mutilation of this property as specified in the 

Sales offering. Upon completion of the 

demilitarization or mutilation required by 

the terms of this offering, the Government 

identifies or determines additional 

demilitarization or mutilation requirements 

exists, not stipulated under the award, the 

Government reserves the right to perform 

this additional demilitarization or mutilation 

of the item(s) at no cost to the Purchaser.

ARTICLE C: FAILURE TO 

DEMILITARIZE OR MUTILATE

 If the Purchaser fails to demilitarize or 

mutilate the property in accordance with the 

terms of this contract, the Government may, 

at its option and upon 10 days written notice 

(calculated from date of mailing) to the 

Purchaser:

 a. Repossess the property, complete the 

demilitarization or mutilation thereof, and 

return the property to the Purchaser. The 

Purchaser hereby agrees to pay the 

Government prior to return of the property, 

all costs incurred in repossessing, 
28

demilitarizing or mutilating and returning 

the property to the Purchaser.

 b. Default the contract, repossess the 

property, complete the demilitarization or 

mutilation thereof, resell the property and in 

addition to the provisions stipulated under 

the clause entitled, "Default" assess the 

defaulting Purchaser with all excess costs 

accrued by the Government. The 

Government will deduct such costs from the 

purchase price of the item(s) involved and 

refund the balance, if any, to the Purchaser. 

In the event the excess costs exceed the 

purchase price, the defaulting Purchaser 

hereby agrees to pay such excess costs to the 

Government.

 c. Default the contract, repossess the 

property and resell it under similar terms 

and conditions. In the event this option is 

exercised, the defaulting Purchaser will be 

charged in addition to the provisions 

stipulated under the clause entitled, 

"Default" with all excess costs incurred by 

the Government. The Government will 

deduct such excess costs from the original 

purchase price and refund the balance, if 

any, to the defaulting Purchaser. Should 

these cost exceed the purchase price, the 

defaulting Purchaser hereby agrees to pay 

such excess costs to the Government.

 In no event will the Purchaser's liability 

to the Government for failure to comply 

with the demilitarization or mutilation 

requirements of this contract be less than 20 

percent of the contract price of the items 

concerned.

ARTICLE D: CHANGE IN CONTRACT 

REQUIREMENTS

 The Sales Contracting Officer may, at 

any time, by written order to the Purchaser, 

make changes in the method by or extent to 

which the property will be scrapped, 

mutilated, or demilitarized, including the 

movement, stripping or disposition of the 

stripped property. When a change causes an 

increase or decrease in the Contractor's 

performance cost or market value of the 

property, an equitable adjustment will be 

made to the contract. Claims of this 

adjustment will be made to the contract. 

Claims for this adjustment must be 

submitted, in writing, by the Purchaser 

within 30 days from the date notification of 

the change was provided to the Purchaser, 

unless the Sales Contracting Officer grants 

an extension to the final date of performance 

under the contract. If both parties fail to 

agree upon an equitable adjustment, the 

dispute shall be processed under the 

"Disputes" clause of the contract. Nothing 

provided in this clause shall excuse the 

Purchaser from proceeding with the 

performance requirements stipulated under 

this change.

ARTICLE E: QUALIFICATION OF 

BIDDERS

 The Purchaser or proposed Subcontractor 

must possess all necessary permits, licenses 

and authorization required by its respective 

government, and have the capability and 

facilities to perform the operations required 

by the contract. The United States 

Government reserves the right to inspect the 

premises and facilities of any Purchaser or 
29

Subcontractor to determine whether it has 

the capability to ensure the security and 

safety of the property during the period of 

demilitarization/mutilation.

ARTICLE F: SUBCONTRACTS

 The Purchaser shall not subcontract with 

any other party for 

demilitarization/mutilation or any other 

phase of the operations involved in this 

contract without the prior written approval 

of the Sales Contracting Officer.

ARTICLE G: GOVERNMENT MAY 

ENTER PREMISES

 The Purchaser agrees to cooperate with 

and to permit all authorized Government 

representatives to enter the premises of the 

Purchaser at any time for the purpose of 

inspecting the scrapping, demilitarization, 

and/or stripping of property sold hereunder.

ARTICLE H: MUTILATION OF 

CHLOROBROMOMETHANE FIRE 

EXTINGUISHERS

 These items require mutilation in the 

manner and to the degree set forth below:

 a. Mutilation of each extinguisher will be 

completed in a manner that precludes any 

possibility of restoration to its original 

intended purpose. This will be 

accomplished by either torch cutting the 

bottom, torching the valve thread, or by 

smelting/crushing.

 b. Purchaser is advised that if it elects to 

mutilate the extinguishers through use of a 

torch, personal protective equipment which 

provides full respiratory protection must be 

worn by the personnel accomplishing the 

mutilation.

ARTICLE I: MUTILATION OF 

CHLOROBROMOMETHANE FIRE 

EXTINGUISHERS ON GOVERNMENT 

PREMISES

 Property requiring mutilation will not be 

removed from Government premises and 

title will not pass to the Purchaser until 

mutilation has been completed by the 

Purchaser and approved by the Contracting 

Officer or authorized representative. 

Mutilation will be accomplished as specified 

in the Sales offering. The Purchaser agrees 

to assume all costs associated to perform 

mutilation of this property.
30

PART 7

ADDITIONAL SPECIAL CIRCUMSTANCE CONDITIONS – HAZARDOUS AND 

DANGEROUS PROPERTY

DRMS FORM 98

OCT 93

ARTICLE A: TRANSPORTING 

HAZARDOUS MATERIAL 

CONTAINERS

 These drums/containers previously held 

hazardous material(s); therefore, Purchasers 

must comply with Department of 

Transportation (DOT) Regulation 49 CFR 

173.29, which requires that the 

drums/containers be transported over public 

highways in the same manner as when they 

contained a greater quantity of hazardous 

material(s).

ARTICLE B: CONTAINERS 

(HAZARDOUS MATERIALS)

 The containers in which property is 

offered for sale may or may not meet the 

transportation specifications as regulated by 

the country in which they are located. If it is 

necessary to repackage the property, suitable 

space and facilities will be made available. 

If the Purchaser obtains a one-time permit 

from the Department of Transportation 

and/or the regulatory transportation office of 

a foreign country exempting this 

repackaging requirement, a copy of such 

permit must be submitted to the Sales 

Contracting Office prior to transporting the 

property.

ARTICLE C: TRANSPORTING 

HAZARDOUS MATERIALS

 The transport of hazardous materials is 

governed by Department of Transportation 

Hazardous Materials Regulations (Title 49, 

Code of Federal Regulations, Parts 170-

189). Although the Purchaser is responsible 

for certifying to the DOT that such 

hazardous materials are properly classified, 

described, packaged, marked and labeled 

and are in a condition safe to transport based 

on the Purchaser's own examination of the 

material, Section 173.7(a)(1) of the DOT 

Regulations states that a certification from 

the Department of Defense to the Purchaser 

describing the condition if containers will 

also be accepted. When shipping containers 

other than those authorized by Interstate 

Commerce Commission (ICC) or DOT are 

used for shipment, a DOT special permit 

must be obtained from the Department of 

Transportation prior to the movement of the 

material. The exemptions provided for 

Department of Defense containers in Section 

173.7 do not apply for this purpose.

ARTICLE D: TOXIC CHEMICALS

 Purchasers are warned that the item(s) 

generated from chemicals or munitions may 

contain minute quantities of a chemical 

agent or decontaminate which might cause 

skin burn or other injury, regardless of the 
31

precautions taken to completely 

decontaminate this property.

ARTICLE E: DANGEROUS PROPERTY

 Purchasers are cautioned that articles or 

substances of a dangerous nature may 

remain in the property regardless of the care 

exercised to remove same. The Government 

assumes no liability for damages to property 

of the Purchaser or for personal injury, 

disability or death of the Purchaser, its 

employees or to any other person arising 

from or affiliated with the purchase, use or 

dispositions of this material. The Purchaser 

shall hold the Government harmless from 

any and all such demands, suits, actions, or 

claims arising from or otherwise relating to 

the purchase of this material.

ARTICLE F: COMPRESSED GAS 

CYLINDERS

 Purchasers are warned that this material 

may contain constituents of an explosive or 

toxic nature regardless of the care exercised 

by the Government to remove them or 

render the material harmless. Additionally, 

prior to reuse or resale of Government 

cylinders, the Purchaser must obliterate the 

registered Government symbol, by stamping 

or penning over the symbol and stamping 

the new users identification on the cylinder 

shoulder. The new cylinder identification 

will be reported to the Bureau of Explosives. 

No cylinder(s) obtained from the 

Government will be reused by the Purchaser 

for transportation of compressed gasses 

unless it meets the requirements of 

hazardous materials regulation in 49 CFR 

173 and the serviceability criteria of the 

Compressed Gas Association Pamphlet C-6.

ARTICLE G: HYDROSTATIC TESTING

 Hydrostatic testing of each cylinder shall 

be performed by the Purchaser as prescribed 

by Method 1, 2, or 3 described in "Methods 

for Hydrostatic Testing of Compressed Gas 

Cylinders", Pamphlet C-1, Compressed Gas 

Association Inc., which may be obtained for 

a fee from the Compressed Gas Association.

ARTICLE H: DISPOSITION OR END USE 

OF COMPRESSED GAS CYLINDERS

 Cylinders that pass Hydrostatic or other 

acceptable test will be held by the Purchaser 

until the Purchaser furnishes the Sales 

Contracting Officer (within 60 days of 

removal) a certification that stipulates the 

size, serial number, retesters Materials 

Transportation Bureau identification number 

or approval by the Bureau of Explosives, as 

specified in 49 CFR 173, for each cylinder 

that passed the test. These cylinders will not 

be reused or sold for reuse until this 

certification has been furnished the Sales 

Contracting Officer. The Purchaser will, at 

its own expense, return those cylinders 

which do not pass the Hydrostatic or other 

acceptable test, to a location specified by the 

Sales Contracting Officer. A refund of the 

purchase price will be made for those 

cylinders returned.

ARTICLE I: VESTING OF TITLE

 Notwithstanding any other conditions of 

sale, title (ownership) to the compressed gas 

cylinders will not vest in the Purchaser until 

the Purchaser furnishes the required 
32

certification to the Sales Contracting Officer 

for those compressed gas cylinders which 

have passed hydrostatic or other acceptable 

thing.

ARTICLE J: RESPIRATORY 

PROTECTION PROGRAM

 Personnel shall be protected by personal 

protective equipment that provides full 

protection of nose, mouth, and respiratory 

system in accordance with 29 CFR 

1910.1001. Personnel engaged in the 

removal or demolition of pipes, structures, 

or equipment covered or insulated with 

asbestos and in the removal or demolition of 

asbestos insulation or coverings shall be 

provided and shall use respirators as 

stipulated in 29 CFR 1910.1001. Asbestos 

shall be presumed present unless shown to 

the contrary by air samplings.

ARTICLE K: RESPIRATORS – RELEASE 

OF LIABILITY

 The Government assumes no liability for 

personal injuries, illness, disabilities or 

death of the Purchaser, its employees or 

agents, or to any person arising from or 

related to the purchase of any respirator 

and/or its use or disposition, whether 

intentional or accidental.

ARTICLE L: ASBESTOS

 Purchasers are warned that unprotected 

exposure to asbestos fibers will significantly 

increase the risk of incurring four diseases: 

Lung cancer, certain gastrointestinal 

cancers, mesothelioma and asbestos. Care 

must be taken to avoid releasing or causing 

to be released, asbestos fibers into the 

atmosphere so that they may be inhaled or 

ingested. The Occupational Safety and 

Health Administration at 29 CFR 1910.1001 

and 53 FR 35610, September 14, 1988, sets 

standards for permissible exposure to 

airborne concentration of asbestos fibers, 

methods of compliance, personal protective 

equipment and other measures that must be 

taken when working with, or in proximity 

to, asbestos, in the U.S., its territories and 

possessions. Purchaser certifies that it will, 

as a minimum, comply with the provisions 

of 29 CFR 1910.1001 and 53 FR 35610, 

September 14, 1988. For actions occurring 

outside the U.S., its territories and 

possessions, the provisions apprising of U.S. 

requirements for protection from asbestos 

are advisory in nature.

ARTICLE M: PACKING, MARKING, 

AND DISPOSAL OF ASBESTOS

 Asbestos waste, scrap, debris, bags, 

containers, equipment and asbestoscontaminated clothing cosigned for disposal, 

which may produce airborne concentrations 

of asbestos fibers, shall be collected and 

disposed of in leak-proof, sealed, 

impermeable bags, as prescribed in 29 CFR 

1910.1001, 53 FR 35610, September 14, 

1988, and 40 CFR 61.20 et. seq. Prior to 

placing in bags, asbestos wastes shall be wet 

down to reduce airborne concentrations. It 

is essential that the waste asbestos material, 

whether in bags or containers, be disposed 

of by burial as specified in 40 CFR Part 260 

et. seq. and 40 CFR 61.140.

 When practicable, scrap material 

containing asbestos shall be wet down 

before handling, hauling or dumping to 
33

reduce the generation of airborne fibers. 

When requested by the SCO, Purchaser 

must provide specific information as to the 

"wetting down" methods to be used. The 

Purchaser must assure that all containers 

holding asbestos and/or disposable garments 

with asbestos on them are transported by a 

safe route to an authorized disposal facility 

as specified in the Department of 

Transportation Regulations 49 CFR 172, 

173.1090, 174-177 and 40 CFR Parts 260 et. 

seq.

ARTICLE N: ASBESTOS DUST 

CONTROL AND HOUSE-KEEPING AND 

CLEANUP PROCEDURES

 All external surfaces where work shall be 

performed must be maintained free of 

accumulations of asbestos fibers to prevent 

further dispersion. Meticulous attention 

must be given to restricting the spread of 

asbestos dust and larger forms of waste. To 

the extent required by 29 CFR 1910.1001 

and 53 FR 35610, September 14, 1988, a 

dropcloth under work areas, curtains and 

other enclosures designed to contain the 

asbestos dust and debris shall be used to 

keep asbestos from being distributed over 

the general area. To the extent required by 

29 CFR 1910.1001 and 53 FR 35610, 

September 14, 1988, appropriate asbestos 

hazard warning signs shall remain posted 

until the site cleanup is complete and the 

soil, surrounding environment and 

atmosphere are tested and found safe. The 

cleanup crew should be under the direction 

and supervision of the Purchaser to ensure 

that proper cleanup is performed when 

asbestos dust/waste is present. All 

personnel engaged in cleaning up asbestos 

scrap and waste shall be equipped with the 

appropriate respiratory and protective 

clothing, as stipulated in 29 CFR 1910.1001 

and 53 FR 35610, September 14, 1988.

ARTICLE O: PROTECTIVE CLOTHING

 Purchasers will provide and require their 

employees to wear coveralls and other 

clothing that will cover the entire body, 

head, hands, and feet, when they are 

exposed to airborne concentrations of 

asbestos fibers, as specified in the OSHA 

Regulation, 29 CFR 1910.1001 and 53 FR 

35610, September 14, 1988.

ARTICLE P: IMPREGNATED 

CLOTHING

 This clothing has been impregnated with 

varying amounts of antitoxological chemical 

agent CC3 (chloramide, chlorinated paraffin 

and zinc oxide). Impregnated clothing will 

not be used for, or converted into, any items 

to be worn by the person. However, 

impregnated clothing may be deimpregnated 

by the Purchaser for ultimate use as 

clothing, rags or scrap provided the items 

are dry cleaned. The purchaser is cautioned 

that this property should not be burned. 

Disposal should be effected by burial in an 

appropriate landfill.

ARTICLE Q: CARTRIDGE CASES ARE 

NOT REPRESENTED TO BE CLEAN 

AND/OR INERT

 Regardless of the care exercised, the 

Purchaser is cautioned that live rounds 

and/or other contamination may remain in 

these items. The Government assumes no 
34

liability for damages or personal injuries, 

illness, disabilities, or death of the 

Purchaser, its employees or any member of 

the general public arising from or related to 

the purchase, transportation, sorting, use or 

other disposition of these items.

ARTICLE R: DISPOSITION AND USE OF 

HAZARDOUS PROPERTY

 Purchasers represent, warrant, and certify 

to the United States Government that they 

will use and ultimately dispose of any 

hazardous property purchased under this 

Sales offering as stipulated under applicable 

local, national, and international laws and 

regulations.

ARTICLE S: GOVERNMENT’S RIGHT 

OF SURVEILLANCE

 a. The Government reserves the right to 

conduct inspections of the Purchaser's 

and/or its agent's representatives, assignee's 

and/or vendee's transportation conveyances 

and/or equipment utilized to effect removal 

of the property purchased under this Sales 

offering. Such actions may be accomplished 

prior to, during and/or subsequent to 

removal of the property from Government 

premises. The Purchaser shall furnish 

Government employees, or authorized 

representative with the free access and 

reasonable assistance required to conduct 

such inspections.

 b. The Government reserves the right to 

conduct inspections of treatment, storage 

and disposal facilities of the Purchaser, its 

agent, representative, assignee and vendee 

including the equipment, instrumentalities, 

and records thereof. Such action may be 

accomplished prior to, during and 

subsequent to removal of property from 

Government premises. The Purchaser shall 

furnish Government employees, or 

authorized representative with free access 

and assistance as requested to conduct such 

inspections.

 c. Where the Purchaser transfers any 

property acquired under this contract to a 

third party, the Purchaser warrants that by 

the terms of that transfer, the Government

shall retain all rights and privileges 

conferred upon it by parts a and b of this 

clause.

ARTICLE T: RIGHT OF REFUSAL FOR 

HAZARDOUS PROPERTY

 Despite the provisions in Part 2, 

Condition 8d, the Purchaser will be 

permitted to cull, sort and segregate those 

item(s) it desires to remove from each item 

referenced to this article in the Sales 

offering. In the event the Purchaser elects to 

exercise this right of refusal, it hereby agrees 

that:

 a. When items are sold by the "lot", no 

refund will be made to the purchase price on 

any portions of the property not removed.

 b. When items are sold by the "unit", 

(each or weight) the purchase price will be 

adjusted on the basis of the unit price and 

the quantity or weight actually removed.

 If the Purchaser fails to remove sales 

property or exercise the right of refusal 

provision during the free removal period, the 

Purchaser will be considered to be in default 
35

for failure to perform and liquidated 

damages will be assessed as stipulated by 

Part 2, Condition 9, for that item. For term 

sales, if the Purchaser (1) fails to remove the 

sale property after being notified by the 

Government as prescribed in the Sales 

offering, and (2) during the notification 

period does not exercise the right of refusal 

provision, the liquidated damages will be 

assessed as stipulated by Part 4, Condition 6

or as otherwise specified in the Sales 

offering, for the quantity of property 

available and not removed.

ARTICLE U: RECORDS MAINTENANCE

 Purchasers of hazardous material/waste 

are required to maintain an audit trail on all 

appropriate sales documents for a period of 

two years subsequent to delivery. The 

Purchasers' records must include a minimum 

the following documents:

 a. DRMS Form 1427 (Notice of Award 

and Release Document)

 b. Bill of Sale (For property sold or 

donated to another individual or company)

 c. Hazardous waste manifest (If items are 

purchased as waste)

 d. Copy of the DRMS Form titled, 

"Continuation of Government's Right to 

Surveillance"

 The Government reserves the right to 

request and inspect these documents as they 

deem necessary. In the event a Purchaser 

fails to maintain or provide any of these 

documents to the Government, the 

Government may at its discretion cancel the 

contract, freeze future deliveries and/or 

declare the Purchaser nonresponsible, until 

the appropriate documents have been 

furnished.

ARTICLE V: CERTIFIED AND NONCERTIFIED RADIATION EMITTING 

ELECTRONIC PRODUCTS

 Purchasers are warned that the item 

purchased herewith may not be in 

compliance with Food and Drug 

Administration radiation safety performance 

standards prescribed under 21 CFR 1000 or 

foreign country regulations, and use may 

constitute a potential for personal injury 

unless the item is modified. The Purchaser 

agrees that the Government shall not be 

liable for personal injuries to, disabilities of 

or death of the Purchaser, its employees or 

any other person arising from or incident to 

the purchase of the item, its use, or 

disposition. The Purchaser shall hold the 

Government harmless from any or all debts, 

liabilities, judgments, costs, demands, suits, 

actions or claims of any nature arising from 

or incident to the purchase or resale of this 

item. The Purchaser agrees to notify any 

subsequent Purchaser of this property of the 

potential for personal injury in using this 

item without a radiation survey to determine 

the acceptability for use and/or modification 

to bring it into compliance with the radiation 

safety performance standards prescribed for 

the item under 21 CFR 1000.

ARTICLE W: RADIOACTIVE 

MATERIAL

 Purchasers are warned that some property 

purchased under this contract such as, but 
36

not limited to, switches, circuit breakers, 

knobs, controls, pointers, instrumental dials, 

markers, etc., may be capable of emitting 

ionized radiation in varying degrees. The 

Government assumes no liability for 

damages to the property of the Purchaser of 

for personal injuries, disabilities or death of 

the Purchaser, its employee or to any other 

person arising from or incident to the 

purchase of this material or its use or 

dispositions. The Purchaser shall hold the 

Government harmless from any or all such 

demands, suits, actions or claims of 

whatsoever nature arising from or relating to 

the purchase of this material. As a safety 

precaution, the Purchaser should also warn 

the future possessor or user of this property 

that the item may be capable of emitting 

ionized radiation.

ARTICLE X: BERYLLIUM 

DUST/POWDER

 Beryllium dust/powder is harmful if 

inhaled and may cause immediate or delayed 

injury. Use only with adequate local 

exhaust ventilation, approved respiratory 

and personal protective devices. May cause 

rash or external ulcers. Wash thoroughly 

after handling.

ARTICLE Y: GOVERNMENT’S RIGHT 

TO MAKE CONTINGENT AWARDS

 In the event that more than one bid is 

received on any hazardous item(s) in the 

Sales offering, the Government at the 

discretion of the Sales Contracting Officer, 

if in the best interest of the Government, 

may award the item to one or more Bidders 

provided the bid prices are reasonable for 

the property offered. The provision will go 

into effect when the high Bidder refuses to 

accept any or all of the property contained in 

an item award, based on the provisions set 

forth in Article titled, "Right of Refusal for 

Hazardous Property". The Government may 

offer the remainder of the property, in 

succession, to the other awardees until all 

property has been removed, or all awardees 

have exercised their right of refusal.

 The primary award would be made to the 

highest Bidder; secondary awards would be 

made on a contingency basis to the next 

highest Bidder. If the primary awardee 

refused to accept any portion of an item or 

generation, the remaining material would be 

offered to the secondary buyer.
37

PART 8

ADDITIONAL SPECIAL CIRCUMSTANCE CONDITIONS – FOREIGN EXCESS 

PERSONAL PROPERTY

DRMS FORM 94

OCT 93

ARTICLE A: TAXES AND DUTIES

 Purchaser is responsible for compliance 

with all laws and regulations which may 

apply to this transaction and shall pay all 

custom duties, taxes and similar charges 

which may be levied by respective 

governments against a Purchaser of United 

States Government property. The United 

States Government shall not be liable for 

taxes, duties, or other assessments imposed 

by any government as a result of this 

transaction or imposed on any property 

transferred under this contract.

ARTICLE B: IMPORTATION 

RESTRICTIONS

 a. This sale document does not constitute 

a guarantee that the property listed herein 

can be legally imported into the United 

States.

 b. This sale document does not constitute 

a guarantee that the property sold hereunder 

is authorized for export from the country 

where the such property is located. It is the 

responsibility of the Purchaser to obtain 

clearance and approval for export from the 

host country concerned.

ARTICLE C: COMPLIANCE WITH 

LAWS, RESTRICTIONS, LIMITATIONS, 

OBTAINING OR LICENSES, ETC.

 Bidders are cautioned that there may be 

local laws, regulations, restrictions, etc., or 

that various countries may require licenses, 

permits or clearances relative to the 

purchase, payment, importation, exportation, 

transportation, resale, etc., of the property 

herein offered for sale. Bidders assume full 

responsibility to ascertain and comply with 

all such laws, regulations, and requirements.

ARTICLE D: GOVERNMENT AS 

SHIPPER (EXPORT)

 When the Purchaser proposes to transport 

property from the country designated in the 

Sales offering to an acceptable destination, 

they will be required to ship the property, at 

their risk and expense, on a commercial 

shipping document showing the United 

States Government as the shipper, as 

follows: "United States of America (Name 

of Sales Contracting Officer) Sales 

Contracting Officer on behalf of (Name of 

Purchaser)" to a consignee and destination 

named by the Purchaser and acceptable to 

the United States. Each such shipping 

document shall include this statement: "Only 

the United States Government may divert 

this shipment to other than the named 

consignee or destination." The Purchaser 

agrees to furnish the Sales Contracting 

Officer a true copy of the original onboard 

bill of lading within five days after delivery
38

of the property to the transporting carrier. 

All insurance will be borne and prepaid by 

the Purchaser. The United States 

Government will in no way be held 

responsible for any loss or damage to the 

material or for any suits or claims arising 

from the loading, storage, carriage, 

discharging, damage to vessel or injury to 

personnel, general or particular average, nor 

in any other circumstances not covered 

above of any nature arising under or 

incidental to the contract by reason of the 

fact that the United States Government 

appears as shipper on the commercial bill of 

lading. When property has been released for 

export, the Purchaser agrees to furnish 

evidence of its arrival at the approved 

destination and delivery of the approved 

consignee through a receipted copy of the 

bill of lading, a landing certificate issued by 

the country of import, or other 

documentation acceptable to the Sales 

Contracting Officer.

ARTICLE E: REPRESENTATION

 Bidder represents that the price(s) bid, 

the item or items bid upon, and the quantity 

of any item on which it bid has been arrived 

at unilaterally and without collusion. The 

Bidder further represents that the intention 

to bid these prices, items, and quantities, and 

the contents of the bid submitted have not 

been communicated by the Bidder or any 

employee or agent of the Bidder to any 

person not an employee or agent of the 

Bidder and will not be communicated to any 

such person before public disclosure of the 

bid by the Government.

ARTICLE F: IMPORT CERTIFICATE 

AND DELIVERY VERIFICATION 

(IC/DV)

 a. Prior to removal of the property, the 

Purchaser agrees to submit to the Sales 

Contracting Officer an Import Certificate 

issued by the Government of the country 

into which the property, or any part of it, is 

to be imported. A triangular Import 

Certificate (stamped with a triangular 

symbol) to indicate that the importer is 

uncertain about the ultimate destination of 

the property will not be accepted.

 b. Prior to release of the property for 

import into a country that does not issue an 

Import Certificate or Delivery Verification, 

the Purchaser agrees to submit to the Sales 

Contracting Officer a notification of 

consignee for approval of the destination 

and consignee by the Sales Contracting 

Officer.

 c. Within 60 days after release of the 

property, the Purchaser agrees to submit to 

the Sales Contracting Officer a Delivery 

Verification issued by the Government that 

issued the Import Certificate.

 d. Within 90 days after release of the 

property for import into a country that does 

not issue an Import Certificate or Delivery 

Verification, the Purchaser agrees to submit 

to the Sales Contracting Officer evidence of 

the arrival of the property at the approved 

destination and delivery to the approved 

consignee. Such evidence may consist of a 

receipted copy of the bill of lading, a 

Landing Certificate issued by the country of 

import, or other valid documentary evidence 
39

identifying the final destination and 

consignee.

 e. Failure of the Purchaser or any 

Subpurchaser to submit a required Delivery 

Verification or other documentary evidence 

of the arrival and delivery may be cause for 

administrative action to be taken against the 

Purchaser or Subpurchaser which could 

result in the denial of future contracts with 

the U.S. Government.

ARTICLE G: DISPOSITION AND USE OF 

PROPERTY

 a. The Bidder agrees to submit with its 

bid a completed End-Use Certificate 

(Statement Regarding Disposition and Use 

of Property) in the form prescribed in this 

Sale.

 b. The Bidder represents and warrants 

that the ultimate destination, use, and 

disposition of the property shall be in 

accordance with the End-Use-Certificate as 

submitted and approved by the Sales 

Contracting Officer.

 c. When property is annotated "Cat II" in 

the item description, changes to the Bidder's 

End-Use Certificate will require the prior 

written approval of the Sales Contracting 

Officer.

 d. The bidder further agrees to notify in 

writing any and all subsequent Purchasers or 

Receivers of this property regarding the 

provisions of this article and of the Bidder's 

End-Use Certificate relative to the 

authorized destination; the requirement for 

approval by the Contracting Officer of any 

change of such destination prior to 

exportation thereto; the specific United 

States restrictions on exports and re-exports 

directly and indirectly to denied areas or 

other prohibited destinations that may have 

been specified in this contract; the 

documentation (e.g., IC/DV documents, 

lading certificates, answers to follow-up 

requests) that may be required; and the 

United States sanctions against violators. 

Subsequent Purchasers and Receivers must 

also agree to make similar notification to its 

Purchasers and Receivers. Any 

unauthorized disposition of the property 

shall be the responsibility of such 

Subpurchaser or Subreceiver and, where at 

fault, of the original buyer from the United 

States.

 e. When property purchased under a 

single contract is intended for more than one 

destination, the Bidder agrees to submit, 

with the End-Use Certificate, a listing of 

those items specifying quantities intended 

for each destination and consignee. The 

Bidder further agrees to furnish the listing 

referred to herein with each request for 

approval of a change in destination.

 f. Whenever requested by the Contracting 

Officer to furnish information regarding the 

actual disposition made of the property 

awarded to the Purchaser, the Purchaser 

agrees to furnish the requested information 

within 30 calendar days after the date of the 

request.

 g. On those items requiring resale 

approval, the Purchaser agrees to maintain 

detailed records of their disposition and to 

provide such records to the Contracting 

Officer whenever so requested.
40

 h. The trade control actions required by 

paragraphs (a) through (c) of this article will 

be applied to all items included in the 

original sale. Resale breakdowns of such 

sales will still be subject to the same control 

requirements applicable to the original sale.

ARTICLE H: SPECIAL WASTE NOTICE

 While the material offered under this 

solicitation is not a regulated waste as 

offered, subsequent actions take with regard 

to the material may cause a regulated waste 

to come into existence. Purchaser is 

cautioned that, if ultimate disposal of this 

material is intended, international, federal, 

regional, and local laws and regulations of 

the country or regions where disposal is 

intended may apply specific restrictions 

concerning the disposal of the material. 

Purchaser is cautioned that it is solely 

responsible to ascertain the extent to which 

these regulations may affect it and comply 

therewith. A list of agencies which should 

be contacted for information regarding 

restrictions which apply to the disposal of 

this material is provided for informational 

purposes only in the General Information 

and Instructions.

ARTICLE I: TRANSPORTING 

DANGEROUS GOODS

 The Inland Transport Committee of the 

Economic Commission for Europe sets 

requirements for the shipping of dangerous 

goods by road (ADR), rail (RID), and inland 

waterway (AND). Some nations also have 

laws and regulations which impose 

additional requirements upon the shipper of 

dangerous goods. The Purchaser, as 

shipper, is solely responsible for 

determining the extent to which these 

regulations affect it and comply therewith. 

A list of some of the agencies which should 

be contacted for specific information 

regarding restrictions which may apply to 

the transportation of this material in the 

respective region or country is provided for 

informational purposes only in the General 

Information and Instructions.

ARTICLE J: LIABILITY AND 

INSURANCE

 a. The Purchaser, during the performance 

of this contract, shall be responsible for and 

shall hold the Government harmless from 

any and all loss of, damage to or liability 

incurred with respect to property of every 

kind and description, except as provided in 

Condition No. 14 of the General Sale Terms 

and Conditions entitled "Risk of Loss", 

whether or not such property is owned by 

the Government. The Purchaser shall also 

hold the Government harmless from bodily 

injury to or death caused either in whole or 

in part by the negligence or fault of the 

Purchaser, its officers, agents or employees 

in the performance of work under this 

contract.

 b. The general liability and responsibility 

of the Purchaser under this clause are 

subject to the following specific limitations: 

The Purchaser shall not be responsible to the 

Government for loss, damage, bodily injury 

to or death of persons when the damage, 

injury or death results solely from an act or 

omission of the Government, its employees 

or results solely from proper compliance by 

officers, agents, or employees of the 
41

Purchaser when specific written direction 

directions are provided from the Contracting 

Officer or its authorized representative.

 c. The Purchaser certifies that it will, at 

no expense to the Government, maintain 

adequate insurance to be effective during the 

term of this contract and any extension 

thereof.

ARTICLE K: COMPRESSED GAS 

CYLINDERS

 a. Purchasers are warned that the material 

may contain items of an explosive or toxic 

nature, regardless of the care exercised by 

the Government to remove them or render 

the material harmless.

 b. Purchaser agrees that, prior to reuse of 

Government cylinders for transporting 

compressed gasses or resale of the cylinders, 

the registered Government symbol will be 

obliterated by stamping or penning over the 

symbol. In addition, the Purchaser agrees 

that it will not reuse or ultimately dispose of 

any cylinder, unless it meets the 

requirements of all applicable local, 

national, international laws and regulations 

and is used in a manner that is safe for the 

public and the environment.
42

PART 9

SPECIAL SPOT BID CONDITIONS OF SALE OF GOVERNMENT PROPERTY

1. MAILED-IN OR HAND CARRIED 

BIDS

 Unless otherwise provided in the Sale, 

mailed-in or hand-carried bids will not be 

considered.

2. BID DEPOSIT

 In the event mailed-in or hand-carried 

bids are provided for in the Sale and a bid 

deposit is required, such bids must be 

accompanied by a bid deposit of 20% of the 

total amount bid and must be in the 

possession of the Contracting Officer by the 

time and date set forth in the Sale. Bid 

deposits shall be in the form prescribed in 

Condition No. 4, General Sale Terms and 

Conditions (Standard Form 114C), Deposit 

Bond-Individual Sale, Sale of Government 

Personal Property (Standard Form 24) 

properly executed or reference to an 

approved Deposit Bond-Annual, Sale of 

Government Personal Property (Standard 

Form 34) are acceptable when their use is 

authorized as acceptable forms of bid 

deposit in the Sale. Any such bid which is 

not timely supported by an acceptable bid 

deposit may be rejected as nonresponsive. 

Any deposit received after the time and date 

set forth in the Sale for the receipt of bids 

will be considered in the same manner as 

late bids.

3. MODIFICATION OR WITHDRAWAL 

OF BIDS

 (Applicable only when mailed-in or 

hand-carried bids are authorized by the 

terms and conditions of the Sale.)

 a. Bids may be modified or withdrawn by 

written or telegraphic notice and a bid also 

may be withdrawn in person by a bidder or 

his/her authorized representative, provided 

his/her identity is made known and he/she 

signs a receipt for the bid, but only if the 

withdrawal is prior to the exact time for the 

start of the sale.

 b. Where a bid deposit is required by the 

Sale, any bid modification which increases 

the amount of a bid already submitted or 

which submits bids on items not previously 

bid on must provide for an additional bid 

deposit.

4. CONSIDERATION OF LATE BIDS, 

MODIFICATIONS, OR WITHDRAWALS

 (Applicable only when mailed-in or 

hand-carried bids are authorized by the 

terms and conditions of the Sale.)

 a. Mailed-in or hand-carried bids or 

modifications or withdrawals thereof, must 

be in the possession of the Contracting 

Officer by the time and date set forth in the 

Sale. Any mailed-in bid or modification or 

withdrawal thereof, received after the time 

and date set forth in the Sale for receipt of 
43

bids will not be considered unless received 

by the Contracting Officer before the time 

set for the start of the sale, was mailed and 

in fact delivered to the address specified in 

the Sale in sufficient time to have been 

received by the Contracting Officer by the 

time and date set forth in the Sale for receipt 

of bids, and, except for delay attributable to 

personnel of the sales office or their 

designees, would have been received on 

time. In no event will mailed-in bids or 

modifications or withdrawals, be considered 

if received by the Contracting Officer after 

the time set for the start of the sale, 

regardless of the cause of delay.

 b. Any hand-carried bid or modification 

not received by the Contracting Officer by 

the exact time set for the receipt of bids will 

not be considered, regardless of the cause of 

the delay. The foregoing sentence does not, 

however, preclude the submission of bids 

from the floor, item by item, as the sale 

progresses.

5. SUBMISSION OF BIDS AND AWARD

 Each numbered item will be offered 

separately by requesting bids from the floor 

which may be submitted by means of a bid 

card showing the item number, unit bid 

price, registration number and signature of 

the Bidder. After announcement is made that 

bidding for that item is closed, no further 

bids will be accepted for that item. Bids 

submitted from the floor will be compared 

with mailed-in or hand-carried bids (if 

authorized) to determine the high bid. 

Award of each item offered will be made to 

the highest responsible and responsive 

Bidder, item by item, as the sale progresses 

unless the Contracting Officer specifically 

announces that the award of a particular 

item must be delayed. Awards so delayed 

will be made on a later date by mailing or 

otherwise furnishing a notice of award to the 

successful Bidder. The amount of the high 

acceptable bid, and the name or registration 

number of the successful Bidder will be 

publicly announced. All awards publicly 

announced will be confirmed in writing. In 

the event that all bids are rejected, the 

amount of the high bid received will be 

publicly announced. Items for which all bids 

have been rejected may be reoffered during 

the sale or at a later date at the discretion of 

the Contracting Officer. Qualified, tie-in, 

all-or-none or combination bids will not be 

acceptable and will be rejected as nonresponsive.

6. PARTIAL PAYMENTS

 a. Payment shall be made as required 

within the time set forth in the Sale, except 

that whenever mailed-in or hand-carried 

bids are authorized and a bid deposit is 

required, the successful Bidder present at the 

sale must make a partial payment on the day 

of the sale of at least 20% of the total 

amount awarded to him/her.

 b. Full or partial payments shall be made 

in the form prescribed in Condition No. 4, 

General Sale Terms and Conditions 

(Standard Form 114C).

 c. In the event the successful Bidder has 

on file an approved Deposit Bond-Annual, 

Sales of Government Personal Property 

(Standard Form 34), that deposit bond may 

be used in lieu of a 20% partial payment 
44

required in subparagraph (a), above, when 

its use is authorized as an acceptable form of 

partial payment in the Sale. Deposit BondIndividual Sale, Sale of Government 

Personal Property (Standard Form 24) is 

also acceptable, if it has been approved in 

advance by the selling agency and its use 

authorized as an acceptable form of partial 

payment in the Sale.

 d. The Purchaser agrees that in the event 

he/she fails to make partial payment on the 

day of the sale, as required by this clause, 

the contract price shall be increased in a sum 

equal to 5% of the amount of the required 

partial payment which remained unpaid on 

the date of the sale for each day that the 

amount remains unpaid not to exceed 20% 

of such amount. Such amount will be 

considered paid at such time as payment is 

deposited in the mail or with a telegraph 

company.

STANDARD FORM 114C

REVISED 4/2001

PRESCRIBED BY GSA FPMR (41 CFR) 

101-45.3
45

PART 10

SALE OF GOVERNMENT PROPERTY SPECIAL AUCTION CONDITIONS

1. SUBMISSION OF BIDS AND AWARD

 a. The Auctioneer will offer each 

numbered item separately. Bidders will 

communicate the amount of their bids either 

orally or by such other means as may be 

recognized by and acceptable to the 

Auctioneer. Unless otherwise provided in 

the Sale, bid offers will not be recognized 

from any person not properly registered and 

where applicable issued a numbered paddle.

 b. All items cataloged by weight, count 

or measure will be sold in like units unless 

specifically changed by announcement by 

the Auctioneer. The Government reserves 

the right to sell in such units or groups 

thereof as it deems most expedient. Items 

will not be subdivided or grouped unless 

specific announcement is made.

 c. The Auctioneer's "knocking down" an 

item will constitute an award by the 

Contracting Officer to the successful 

Purchaser for each item except as otherwise 

herein specifically provided.

 d. In the event of a dispute as to the 

amount bid, item or item number, and/or 

paddle number of a Bidder, the Contracting 

Officer reserves the right to reoffer the item 

in question. Once an item is "knocked 

down", the Purchaser may not withdraw the 

bid.

 

 e. Records of the Government, certified 

by the Contracting Officer, as to name and 

number of the Bidder, the bid, and amount 

thereof shall be prime facie evidence of the 

circumstances of the sale, and all 

disagreements will be resolved in 

accordance with such records.

 f. Special provisions made by the Bidder 

will not be acceptable and will be cause for 

rejection of bids. The General Sale Terms 

and Conditions, (Pages 1 - 4) and Special 

Conditions of Sale constitute a part of the 

contract of sale between the Government 

and the Purchaser. All Bidders acknowledge 

(by signing the registration card) that they 

have full and complete understanding of the 

terms and conditions, and agree to be bound 

thereby.

2. PARTIAL PAYMENTS

 a. Unless full payment is required, the 

successful Bidder for any item must make a

partial payment on the day of the sale of at 

least 20% of the total amount awarded to 

him/her.

 b. Full or partial payments shall be made 

in the form prescribed in Condition No. 4, 

General Sale Terms and Conditions 

(Standard Form 114C).

 c. In the event the successful Bidder has 

on file an approved Deposit Bond-Annual, 

Sale of Government Personal Property
46

(Standard Form 151), that deposit bond may 

be used in lieu of the 20% partial payment 

required in subparagraph (a), above, when 

its use is authorized as an acceptable form of 

partial payment in the Sale. Deposit BondIndividual Sales, Sale of Government 

Personal Property (Standard Form 150), is 

also acceptable if it has been approved in 

advance by the selling agency, when its use 

is authorized as an acceptable form of partial 

payment in the Sale.

 d. The Purchaser agrees that in the event 

he/she fails to make partial payment on the 

day of the sale, as required by this clause, 

the contract price shall be increased in a sum 

equal to 5% of the amount of the required 

partial payment which remained unpaid on 

the date of sale for each day that the amount 

remains unpaid not to exceed 20% of such 

amount. Such amount will be considered 

paid at such time as payment is deposited in 

the mail or with a telegraph company.

STANDARD FORM 114C

REVISED 4/2001

PRESCRIBED BY GSA FPMR (41 CFR) 

101-45.3
47

TIPS FOR BIDDERS

1. Review the terms and conditions of each sale carefully.

They can vary from sale to sale. If you have questions, consult the Sales Contracting 

Officer at the Sales Office.

2. Don’t bid for more material than you can pay for and/or remove within the removal time 

allowed. Overbuying may result in forfeiture of your bid deposit or assessment of 

storage charges.

3. Be sure your bid is responsive. Bids are solicited on many different bases; i.e., pound, 

foot, each, ton. Be sure your bid is submitted on the proper unit of measure.

4. Always verify your unit price and your total price before submitting the bid. Mistakes 

can prove costly to you and will delay processing your bid. Initial the erasures and 

changes made on your bid.

5. Be sure to address your bid to the exact mailing address given in the sales auction. 

6. END USE CERTIFICATE/BID and AWARD PAGE: When bidding on any items 

which require an End Use Certificate, make sure the certificate is properly filled out and 

accompanies your Bid and Award page.

NOTE: The name and address on the End-Use Certificate must be identical to that 

entered on your Bid and Award page.

7. Mail your bid early to allow extra time for postal handling. If you are using a courier 

service, ensure their delivery time is prior to the bid acceptance time and date. 

8. To ensure Bid are expeditiously processed, proper credit is given for your participation 

and to preclude opening sealed Bid for identification, your bid envelope must contain:

a. Your complete return address. (Always use the same name and address that 

appears on your bid form).

b. The sale number, and opening date and time.

c. Your Bidder identification number if one has been assigned.

9. All payments made on sales contracts must be submitted directly to the Sales Office 

conducting the sale unless otherwise instructed by the Sales Contracting Officer.