Clauses · DFARS · Pricing and audit
DFARS 252.243-7001 Pricing of Contract Modifications
Does the regulation require it to flow down?
No
There is no flowdown paragraph in the text (verified). Primes include it so that price adjustments on the sub's mods follow the same cost principles (FAR 31/DFARS 231) and the mod negotiation does not turn into free-form pricing — and to mirror at the sub the yardstick DCAA will apply to them
A clause can reach your subcontract without a mandate. Once it is in your document, it is a contract term all the same. The missing mandate is a fact about the regulation. It is not a ruling on your order.
Checked against acquisition.gov on 2026-08-11 · edition DEC 1991 · base v0.9.3 Read the text ↗
What it makes you produce
One item for your checklist.
Nothing to send now
It does not hold the order. It decides what money moves later — what you can claim, what can be claimed from you, and what can be held back — and none of that changes after signature.
Nothing goes out now — where cost is a factor in any price adjustment, FAR part 31 and DFARS part 231 in the versions in effect on the contract date are what the adjustment is built on, so unallocable and unreasonable cost stays out of the math from the start
DFARS 252.243-7001
When it is used
Applies in solicitations and contracts when a fixed-price type contract is anticipated (prescription 243.205-70). No threshold. A one-sentence clause: whenever cost is a factor in any price adjustment, the FAR Part 31 and DFARS Part 231 cost principles in effect on the contract date apply.
Read closely
The clause is a single undesignated sentence, so there is no paragraph letter to give, and nothing in it is submitted or notified. The governing version is the one at signature rather than the current one, which is worth recording at signature because nobody reconstructs it later.
The 8 templates that name it, with the line
Source: acquisition.gov, DFARS 252.243-7001. CODIFIED REGIME, read 2026-08-11 on the part-252 page at DFARS Change 5/7/2026: "As prescribed in 243.205-70, use the following clause:" with designation (DEC 1991). DEVIATION REGIME, read 2026-08-11 in acquisition.gov/sites/default/files/page_file_uploads/DoD_RFO_Deviation_Part-43.pdf (473933 bytes, 9 pages, DARS Tracking Number 2026-O0034, "Effective February 1, 2026, contracting officers shall use"): 243.305-70 reads "Insert the clause at 252.243-7001, Pricing of Contract Modifications, in solicitations and contracts when anticipating and using a fixed price type contract.", and the clause head reads "As prescribed in 243.305-70, use the following clause:" with the same designation (DEC 1991). SAME NUMBER AND SAME DESIGNATION, MOVED PRESCRIPTION: 243.205-70 codified, 243.305-70 under the deviation. The deviation prescription also states a condition the codified one does not, that the contract be a fixed-price type. TO RE-DERIVE WITHOUT REDOING THE RESEARCH: fetch that PDF, run pdftotext -layout over it, and grep for 252.243-7001 — 2 occurrences on 2026-08-11, poppler pdftotext. (verified 2026-08-11)
This is research, not legal advice. It states what the regulation says about this clause and cites the paragraph behind it. It does not rule on your order, and it does not rule on whether a prime's markings are correct.