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FAR ClauseCost & Pricing

FAR 52.217-9 — Option to Extend the Term of the Contract

Government's right to unilaterally extend the contract term (typically by exercising option periods) for an additional period at pre-negotiated pricing.

View official clause text on acquisition.gov

When This Clause Applies

Required in contracts where option periods are included.

What This Means for Contractors

Government may exercise options at its discretion, with stated notice requirements. Contractor must perform if option is exercised. Option pricing is locked at award unless price adjustment clauses (SCA, Davis-Bacon) apply.

Common Pitfalls

  • 1Misreading option exercise notice deadlines
  • 2Treating non-exercised options as breach (they're not — option exercise is discretionary)
  • 3Failing to claim SCA/Davis-Bacon price adjustments after option exercise

Related Topics

FAR 52.217-9option to extendcontract option exerciseoption year

Related Clauses

FAR 52.217-8

Option to Extend Services

Allows the government to unilaterally extend service contracts for up to 6 months beyond the contract term to bridge gaps in follow-on award timing.

Continue Your Research

NAICS 518210 — Data Processing, Hosting, and Related Services

Find federal contracts under NAICS 518210. Common agencies, set-asides, contract values.

NAICS 541330 — Engineering Services

Find federal contracts under NAICS 541330. Common agencies, set-asides, contract values.

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