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B.2 Basic Contract Clauses

B.2.1 Clause 4-1, General Terms and Conditions; Modifications of Clauses

Clause 4-1, General Terms and Conditions, contains the basic terms and conditions of Postal Service contracts. Its terms and conditions are modeled on those used in the private sector, and are intended to minimize administrative effort, thereby reducing costs. As discussed in 4.2.7.d, and subject to the restrictions in 1.3.1, these terms and conditions may be modified, added to, or supplemented as required. In addition, subject to 4.2.7.d, 1.3.1, and B.2.2 below, the other clauses in this Appendix may be modified, added to, or supplemented when doing so would ensure the success of the purchase. Assigned counsel must be consulted before modifying, adding to, or supplementing these clauses, unless a clause contained in these Guidelines is used to replace a paragraph in Clause 4-1 addressing a similar subject. Purchase teams should remember that less onerous terms and conditions usually result in lower overall cost.

B.2.2 Clause 4-2, Contract Terms and Conditions Required to Implement Policies, Statutes, or Executive Orders

Clause 4-2, Contract Terms and Conditions Required to Implement Policies, Statutes, or Executive Orders, contains several clauses, some of which are incorporated by reference, enforcing certain policies, statutes or Executive Orders applicable to Postal Service contracts. Clause 4-2 also contains a series of clauses which, depending on the nature of the purchase, may apply to a given contract, and which are checked-off by the contracting officer when they do. Neither Clause 4-2 nor any of the clauses incorporated by reference in it may be modified or replaced unless (1) a deviation has been granted (see 1.3.1.b) or the discussion of the clause provides instructions for such action (see, for example, 9.3.2 regarding exceptions granted by the Secretary of Labor). In addition, no change may be made to paragraph (b) (Examination of Records) of this clause before (1) consulting with assigned counsel and the office of the Inspector General and (2) having a deviation reviewed and approved by a higher level than the contracting officer who holds deviation approval authority (see 1.3.2.b).

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