PART 5346-QUALITY ASSURANCE
TABLE OF CONTENTS
Paragraph Title Page
SUBPART 5346.7-WARRANTIES 46-1
5446.702 General 46-1
5346.703 Criteria for use of warranties 46-1
5346.706 Warranty terms and conditions 46-1
5346.708 Warranties of data 46-1
5346.710 Contract Clauses 46-1
5346.770 Reserved 46-2
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(c) Warranty cost benefits.
(1) Contracting officers shall require contractors to propose and justify warranty costs on an over and above basis. Exclude any costs, such as quality assurance, sustaining engineering, and product support costs, that would have been incurred without the warranty. Contracting officers shall ask DCAA and the contract administration office to evaluate the contractor's proposed warranty costs and shall specifically address the warranty acquisition costs in the price negotiation memorandum.
(2) The contracting officer shall require the contractor to separately identify actual warranty costs in cost reporting, either as a stand-alone report or as part of another cost report.
(3) Weapon system warranties. Although weapon system warranties are no longer mandated by statute, the contracting officer shall examine the overall value and utility of warranties on major systems and pursue such warranties when appropriate and cost effective or when directed to do so by a Foreign Military Sales (FMS) customer. AFM 64-110, Manual for Weapon System Warranties, contains guidance for the establishment and administration of weapon system warranties.
(b)(5) Markings. The contracting officer shall ensure that the warranty clause (see 5346.710) requires the contractor to mark warranted items to be conspicuous to a person removing the item from service. The marking shall specifically state the duration or conditions of the warranty. The marking shall state whether the warranty period is determined by a specific expiration date or number of days after shipping or is based on some other criteria, such as the number of landings, flight hours, or operating hours.
When obtaining a warranty on technical data in an acquisition data package, the contracting officer shall ensure that:
(1) Contract specifications and requirements define what constitutes a complete, accurate, and adequate acquisition data package;
(2) The warranty period will cover the Government's intended first use of the package for a competitive procurement; and
(3) Extended contractor liability is obtained, when cost effective. See the alternate endings to the clause at DFARS 252.246-7001, Warranty of Data.
The specific warranty clause included in a weapon system contract shall be consistent with the weapon system warranty plan (see AFM 64-110, Manual for Weapon System Warranties).