Common use of Incentive Contracts Clause in Contracts

Incentive Contracts. Additionally, FAR section 16.503 Requirements Contracts; FAR section 16.601 Time-and-materials and FAR 16.602 Labor-hour Contracts are permitted Task Order contract types. However, FAR 16.503 Requirements Contracts should be limited to not exceed the ordering period of the Master Contract. Task Orders may also incorporate FAR 17.1 Multiyear Contracting and FAR 17.2 Option periods procuring Commercial-items or Non-commercial items. These contract types can be used singly or in combination within a single Task Order comprising multiple Contract Line Items (CLINS).