Contracts with State and Local Governments

Entering into a contract with a government entity is very different from entering into a contract with a private entity. When a contract is entered into with the state, state and local governments are not subject to the same laws that apply to federal contracts. However, many states have adopted similar laws modeled after federal regulations, while also setting their own requirements to ensure that contracting is fair.

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What is a ‘termination for default’?

When a business owner enters into a procurement contract with the federal government for the provision of goods or services, he or she must be aware of the complex terms of such contracts. While many business owners are familiar with the Uniform Commercial Code and common law rules governing their business contracts, most are not familiar with the unique administrative rules governing federal government contracts.

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