One of the most unique features of government contracting is TINA or Defective Pricing wherein the government, under certain circumstances, has contractual rights to reduce contracted prices.

In addition to the government’s rights to downward price adjustments, defective pricing significantly alters any advantages the seller (government contractor) might have in terms of superior knowledge. The ultimate result is to minimize if not eliminate any superior bargaining position when dealing with the Government if the negotiations involve certified cost or pricing data.

As a contractor it is essential to know if and when TINA applies and the risk imposed when TINA does apply. This webinar will include discussion of the following topics:

  • Identification of the FAR contract clause which invokes the Truth-in-Negotiations (TINA) requirements,
  • Identification of the DCAA audit policies and audit programs relevant to audits for TINA compliance
  • Identification of the specific risks which can trigger a contracting officer request for a DCAA
  • Defective Pricing audit
  • Definition of the five criteria for defective pricing
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