Fixed Price Becomes The Default — What The New Executive Order Means (Video)

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An Executive Order is driving federal agencies toward fixed-price contracts, fundamentally shifting risk from government to contractors. This policy change raises critical questions about pricing strategies, performance obligations, and dispute resolution in government contracting. Understanding these dynamics is essential for contractors navigating this evolving landscape.

United States Government, Public Sector

Edward V. Arnold

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In this episode of Claims & Sustains, we break down the Executive Order pushing agencies toward greater use of fixed-price contracts—and what that means for contractors. We explore the government’s rationale, the practical challenges of shifting risk to industry, and how this policy may reshape pricing, performance, and dispute dynamics. The bottom line: fixed-price contracting is expanding, and contractors need to be prepared to manage the increased risk that comes with it.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

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Edward V. Arnold

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Fixed Price Becomes The Default — What The New Executive Order Means (Video)

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Government, Public Sector

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United States