FAR 46.5—Subpart 46.5

General.

FAR 46.501 explains what "acceptance" means in federal contracting and how it functions as the Government’s formal acknowledgment that supplies or services conform to the contract’s quality and quantity requirements. It covers four core topics: the legal effect of acceptance, when acceptance may occur (before delivery, at delivery, or after delivery), the normal rule that acceptance should not happen until Government contract quality assurance actions are complete, and the usual way acceptance is documented through an acceptance certificate on an inspection or receiving report form or on a commercial shipping document/packing list. In practice, this section matters because acceptance is a key contract administration milestone: it can trigger payment, shift risk, and limit the Government’s ability to reject nonconforming items later, subject to the contract terms and the exceptions in this subpart. Contractors should understand when they can expect formal acceptance and what documentation will support it, while contracting personnel and quality assurance staff must coordinate to ensure acceptance is not premature and is properly recorded. The section also signals that acceptance is not absolute; it operates within the broader contract terms and the specific rules in Subpart 46.5, including the exception referenced in 46.504.

Responsibility for acceptance.

FAR 46.502 addresses who has the authority and responsibility to accept supplies or services on behalf of the Government. It establishes the default rule that the contracting officer is responsible for acceptance, and it also covers the exception where that responsibility is delegated to a cognizant contract administration office or another agency under FAR 42.202(g). The section matters because acceptance is the formal Government act that confirms contract performance is satisfactory and can trigger payment, closeout, and the transfer of risk for accepted items or services. In practice, this rule helps ensure there is a clear, authorized decision-maker for acceptance and prevents disputes over whether the Government is bound by an acceptance decision. It also signals to contractors that acceptance by the properly designated office or agency is legally effective and binding on the Government.

Place of acceptance.

FAR 46.503 addresses where the Government will formally accept supplies or services under a contract. It requires every contract to state the place of acceptance, ties that place to the location of Government contract quality assurance (GCQA) when inspection is performed at source or at destination, and points readers to transportation terms in FAR subpart 47.3 when delivery and shipping issues affect acceptance. The rule also explains what happens when supplies are accepted somewhere other than the destination: they are not to be reinspected at destination for acceptance purposes, but they may still be examined there for quantity, transit damage, and signs of substitution or fraud. In practice, this section matters because the place of acceptance determines when title/risk and acceptance-related obligations are triggered, where inspection and acceptance occur, and how later disputes about defects, shortages, or shipping damage are handled. It helps contracting officers write clear contract terms and helps contractors understand where they must present items for final acceptance and what post-delivery checks may still occur.

Certificate of conformance.

FAR 46.504 explains when a contracting officer may accept a contractor’s certificate of conformance instead of performing source inspection, even if the contract otherwise calls for acceptance at source or destination. The section covers the discretionary nature of that decision, the two core conditions that must be satisfied, and the requirement that using a certificate cannot waive or weaken the Government’s underlying inspection rights under the contract. In practice, this provision is a risk-based shortcut: it can reduce inspection burden and speed acceptance when the Government’s interest is served and the risk of defect is low or manageable. It is especially relevant where defects would cause only small losses, or where the contractor’s reputation and past performance make it likely that the work will be acceptable and any defects will be corrected without dispute. The section matters because it balances efficiency against quality assurance, allowing the Government to rely on contractor certification only when doing so is prudent and does not compromise contractual inspection protections.

Transfer of title and risk of loss.

FAR 46.505 addresses two closely related but distinct issues for supplies under federal contracts: when title passes to the Government and when the risk of loss or damage shifts from the contractor to the Government. It also explains how those rules change depending on whether transportation is f.o.b. origin or f.o.b. destination, and it creates a special rule for nonconforming supplies that are subject to rejection. In addition, it protects contractors from liability for loss or damage caused by the negligence of Government personnel acting within the scope of their employment. Finally, it ties these rules to the contract clause at 52.246-16, Responsibility for Supplies, which is the clause that implements this policy in contracts where it is prescribed. In practice, this section matters because title and risk are not the same thing: the Government may own the supplies after acceptance, while the contractor may still bear the risk of loss until a later event occurs under the contract’s shipping terms. Contracting officers must ensure the contract’s delivery terms and any special title provisions are consistent with these default rules, and contractors must understand when they remain financially responsible for damaged, lost, or rejected supplies.