This text is not in eCFR or DITA. It is extracted from the Revolutionary FAR Overhaul deviation guide for FAR Part 25. The parsed text is a convenience layer; the Source PDF tab is authoritative. Always verify against the official deviation PDF.
As prescribed in 225.7307(a). See the Prescription tab for the prescribing policy text.
RESTRICTION ON CONTINGENT FEES FOR FOREIGN MILITARY SALES (APR 2003)
- (a) Except as provided in paragraph (b) of this clause, contingent fees, as defined in the Covenant Against Contingent Fees clause of this contract, are generally an allowable cost, provided the fees are paid to—
- (1) A bona fide employee of the Contractor; or
- (2) A bona fide established commercial or selling agency maintained by the Contractor for the purpose of securing business.
- (b) For foreign military sales, unless the contingent fees have been identified and payment approved in writing by the foreign customer before contract award, the following contingent fees are unallowable under this contract:
- (1) For sales to the Government(s) of __________, contingent fees in any amount.
- (2) For sales to Governments not listed in paragraph (b)(1) of this clause, contingent fees exceeding $50,000 per foreign military sale case.
Prescription: 225.7307 Contract clauses
As prescribed in 225.7307(a). Scope applicability here before applying the clause.
- (a) Insert the clause at 252.225-7027, Restriction on Contingent Fees for Foreign Military Sales, in solicitations and contracts, including solicitations and contracts using FAR part 12 procedures for the acquisition of commercial products and commercial services, that are for FMS. Insert in paragraph (b)(1) of the clause the name(s) of any foreign country customer(s) listed in 225.7303-4(b).
Version history
One version on record, first captured 2026-06-11 15:50:04, effective February 17, 2026.
Prescription: 225.7307
Prescribing text cropped from the same deviation PDF.
Clause text (pages 133–134)
Rendered from the deviation PDF. Open the full PDF.
