Clause Library / FAR Part 16
FAR 52.216-7
Allowable Cost and Payment
A contract clause under the Federal Acquisition Regulation, placed in Uniform Contract Format Section I (Contract clauses).
Contract clausePrescribed in 16.307(a)UCF Section IIncorporated by reference
When it applies
Required by FAR 16.307(a) when a cost-reimbursement or time-and-materials contract (other than for a commercial product/service) is contemplated — governs which incurred costs are reimbursable. Per 16.307(a) it does NOT apply to labor-hour contracts.
Prescription
The FAR directs use of 52.216-7 at 16.307(a) — read the prescribing section on acquisition.gov →.
Official text
The full, authoritative text of 52.216-7 is on acquisition.gov: View FAR 52.216-7 →
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