Termination for Convenience

A termination for convenience is a full or partial cancellation of work on a Government contract. The Government has a right to terminate a contract for convenience even if such a provision does not exist in a contract.

A termination for convenience is an open door for a contractor but a contractor needs to know how to obtain all the dollars due under the convenience termination.

It is important to:
  • Identify all the costs you are entitled to in a Termination for Convenience.
  • Understand all the costs of partial terminations.
  • Know the government auditing tactics in reducing your T/C claim.
  • Resolve prime / subcontractor termination issues and claims prior to Termination for Convenience.
  • Determine when the Government is not allowed terminate for convenience allowing breach damages.
  • Subcontractors need to recognize when primes attempt to reduce your claim in order to increase their profits.
  • Avoid standard T/C formats, by using our techniques, our clients have gained an additional 50% more dollars than the anticipated using the normal format.
  • An improper Termination for Default can be turned into a Termination for Convenience Request for Equitable Adjustment.
The key to obtaining a favorable settlement in a termination for convenience settlement is knowing all the costs that a company may recover.

All consulting fees paid to help prepare a termination claim are reimbursable by the government and become a part of the claim.