Title 41Public ContractsRelease 119-73

§7106 Agency board procedures for accelerated and small claims

Title 41 › Subtitle Subtitle III— - Contract Disputes › Chapter CHAPTER 71— - CONTRACT DISPUTES › § 7106

Last updated Apr 6, 2026|Official source

Summary

Agency boards must offer a faster appeal for contract disputes of $100,000 or less. The contractor can choose it, and the board should decide, when possible, within 180 days of that choice. A small-claims option is available for disputes of $50,000 or less, or $150,000 or less for a small business concern (as defined by the Small Business Act). It uses simpler rules, can be decided by one board member with any extra approvals the rules allow, and should be decided, when possible, within 120 days. Small-claims decisions are final except for fraud and do not create precedent. The Administrator may change the dollar limits using economic indexes.

Full Legal Text

Title 41, §7106

Public Contracts — Source: USLM XML via OLRC

(a)The rules of each agency board shall include a procedure for the accelerated disposition of any appeal from a decision of a contracting officer where the amount in dispute is $100,000 or less. The accelerated procedure is applicable at the sole election of the contractor. An appeal under the accelerated procedure shall be resolved, whenever possible, within 180 days from the date the contractor elects to use the procedure.
(b)(1)The rules of each agency board shall include a procedure for the expedited disposition of any appeal from a decision of a contracting officer where the amount in dispute is $50,000 or less, or in the case of a small business concern (as defined in the Small Business Act (15 U.S.C. 631 et seq.) and regulations under that Act), $150,000 or less. The small claims procedure is applicable at the sole election of the contractor.
(2)The small claims procedure shall provide for simplified rules of procedure to facilitate the decision of any appeal. An appeal under the small claims procedure may be decided by a single member of the agency board with such concurrences as may be provided by rule or regulation.
(3)An appeal under the small claims procedure shall be resolved, whenever possible, within 120 days from the date the contractor elects to use the procedure.
(4)A decision against the Federal Government or against the contractor reached under the small claims procedure is final and conclusive and may not be set aside except in cases of fraud.
(5)Administrative determinations and final decisions under this subsection have no value as precedent for future cases under this chapter.
(6)The Administrator, from time to time, may review the dollar amounts specified in paragraph (1) and adjust the amounts in accordance with economic indexes selected by the Administrator.

Legislative History

Notes & Related Subsidiaries

Historical and Revision Notes

Revised SectionSource (U.S. Code)Source (Statutes at Large) 7106(a)41:607(f).Pub. L. 95–563, § 8(f), Nov. 1, 1978, 92 Stat. 2386; Pub. L. 103–355, title II, § 2351(c), Oct. 13, 1994, 108 Stat. 3322. 7106(b)41:608.Pub. L. 95–563, § 9, Nov. 1, 1978, 92 Stat. 2387; Pub. L. 103–355, title II, § 2351(d), Oct. 13, 1994, 108 Stat 3322; Pub. L. 109–364, div. A, title VIII, § 857, Oct. 17, 2006, 120 Stat. 2349. In subsection (a), the word “only” is omitted for consistency with a similar provision in 41:608(a) and because the word “only” is redundant with the word “sole”. In subsection (b)(6), the words “from time to time, may review” are substituted for “is authorized to review at least every three years” because the source law, while effectively granting the Administrator authority to conduct the reviews, does not require the Administrator to conduct any reviews, and does not restrict the number of reviews the Administrator may conduct during any time period. The words “beginning with the third year after November 1, 1978” are omitted as obsolete. The words “the dollar amount specified in paragraph (1)” are substituted for “the dollar amount defined in subsection (a) of this section as a small claim” to eliminate unnecessary words and because 41:608(a), restated as paragraph (1), does not explicitly provide a definition for the term “small claim”. Senate Revision AmendmentIn subsec. (b)(6), “amounts” substituted for “amount” in heading and “amounts” substituted for “amount” in two places in text by S. Amdt. 4726 (111th Cong.). See 156 Cong. Rec. 18683 (2010).

Reference

Citations & Metadata

Citation

41 U.S.C. § 7106

Title 41Public Contracts

Last Updated

Apr 6, 2026

Release point: 119-73