Common use of Prime Contractor Clause in Contracts

Prime Contractor. Effective immediately, after completion of this Agreement, the CNA may perform as the Prime Contractor only when qualified NPAs do not have the capacity to perform the service, or when the government customer requests this arrangement, unless prior approval is received from them Commission. The intent of this provision is for CNAs to support NPAs’ ability to do business with the government and not to unnecessarily compete with the NPAs. The CNA shall not charge a Program Fee to any NPAs serving as subcontractors, as related to the subcontract work, when the CNA is approved to serve as the Prime Contractor and bills a management or overhead fee as the Prime Contractor.

Prime Contractor. Effective immediately, after completion of this Agreement, the CNA may perform as the Prime Contractor only when qualified NPAs do not have the capacity to perform the service, or when the government customer requests this arrangement, unless prior approval is received from them the Commission. The intent of this provision is for CNAs to support NPAs’ ability to do business with the government and not to unnecessarily compete with the NPAs. The CNA shall not charge a Program Fee to any NPAs serving as subcontractors, as related to the subcontract work, when the CNA is approved to serve as the Prime Contractor and bills a management or overhead fee as the Prime Contractor.