FAR 52.216-22—Indefinite Quantity.
Plain-English Summary
FAR 52.216-22, Indefinite Quantity, explains how an indefinite-delivery/indefinite-quantity (IDIQ) contract works when the Government does not buy a fixed amount up front. This clause covers the contract’s indefinite-quantity nature, the fact that stated quantities in the Schedule are only estimates, the Government’s obligation to order at least the minimum quantity, the contractor’s obligation to furnish up to the maximum quantity when ordered, the use of the Ordering clause to authorize delivery or performance, order limitations and the possibility of multiple orders and multiple destinations, and the rule that orders issued during the contract period may be completed after the contract’s effective period ends. It also addresses the special cutoff date after which the contractor is not required to make further deliveries, even if an order was placed earlier. In practice, this clause is central to IDIQ contracting because it defines the parties’ minimum and maximum commitments, controls when work may be ordered, and determines whether an order remains enforceable after the base contract period expires. Contractors use it to understand their production and performance obligations, while contracting officers use it to manage ordering authority and avoid exceeding stated limits or missing the minimum guarantee.
Key Rules
Quantities Are Estimates
The quantities listed in the Schedule are not firm purchase commitments; they are estimates only. The Government is not buying those estimated amounts by signing the contract, but only agreeing to order within the contract’s minimum and maximum framework.
Minimum and Maximum Apply
The Government must order at least the minimum quantity stated in the Schedule, and the contractor must furnish supplies or services up to the maximum quantity stated. These quantities define the basic legal commitment of the IDIQ contract.
Orders Control Performance
The contractor performs only when authorized by orders issued under the Ordering clause. No delivery or performance is required unless and until a valid order is placed in accordance with the contract’s ordering procedures.
No Order Count Limit Unless Stated
Unless the Order Limitations clause or the Schedule imposes limits, the Government may issue any number of orders. The Government may also direct orders to multiple destinations or performance at multiple locations.
Orders May Extend Beyond Period
An order issued during the contract’s effective period remains governed by the contract even if completion occurs later. The contractor must complete the order within the time specified in the order, subject to the clause’s final delivery cutoff date.
Final Delivery Cutoff Date
The clause includes a date after which the contractor is not required to make deliveries under the contract. This date limits post-period delivery obligations even for orders placed during the contract term.
Responsibilities
Contracting Officer
Ensure the Schedule states the minimum and maximum quantities, the effective period, and any delivery cutoff date. Issue orders only in accordance with the Ordering clause and any applicable order limitations, and make sure the Government satisfies the minimum ordering obligation.
Government / Ordering Activity
Place valid orders within the contract’s scope, quantity limits, and ordering procedures. Order at least the stated minimum, and use the contract only for supplies or services covered by the Schedule and authorized destinations or locations.
Contractor
Provide the supplies or services when and if ordered, up to the maximum quantity, and complete each valid order within the time specified. Track the contract period, the final delivery cutoff date, and any order limitations to avoid overcommitting beyond the contract terms.
Schedule Drafter / Acquisition Team
Set realistic estimates, minimums, maximums, and any order limitations so the contract reflects the agency’s actual needs and risk tolerance. Ensure the contract language aligns with the Ordering clause and any multiple-destination or multi-location requirements.
Practical Implications
This clause is the core risk-allocation tool in IDIQ contracts: the Government gets flexibility, but the contractor needs a clear minimum guarantee and a defined maximum exposure.
A common pitfall is confusing estimated quantities with promised quantities; contractors should not treat the Schedule estimates as guaranteed demand.
Another frequent issue is missing the minimum order obligation or failing to document that the Government satisfied it, which can create contract administration problems.
Contractors should watch the final delivery cutoff date carefully, because orders placed on time may still be nonperformable if the clause’s cutoff date has passed.
Contracting officers should verify that order limitations, multiple-destination requirements, and the Ordering clause are consistent, so orders are enforceable and do not exceed the contract’s stated boundaries.
Official Regulatory Text
As prescribed in 16.506 (e) , insert the following clause: Indefinite Quantity (Oct 1995) (a) This is an indefinite-quantity contract for the supplies or services specified, and effective for the period stated, in the Schedule. The quantities of supplies and services specified in the Schedule are estimates only and are not purchased by this contract. (b) Delivery or performance shall be made only as authorized by orders issued in accordance with the Ordering clause. The Contractor shall furnish to the Government, when and if ordered, the supplies or services specified in the Schedule up to and including the quantity designated in the Schedule as the "maximum." The Government shall order at least the quantity of supplies or services designated in the Schedule as the "minimum." (c) Except for any limitations on quantities in the Order Limitations clause or in the Schedule, there is no limit on the number of orders that may be issued. The Government may issue orders requiring delivery to multiple destinations or performance at multiple locations. (d) Any order issued during the effective period of this contract and not completed within that period shall be completed by the Contractor within the time specified in the order. The contract shall govern the Contractor’s and Government’s rights and obligations with respect to that order to the same extent as if the order were completed during the contract’s effective period; provided , that the Contractor shall not be required to make any deliveries under this contract after _______________ [ insert date ]. (End of clause)