The
United States federal government seeks to select contractors in a way that is fair to all and promotes the
free market system. Contractors are selected via
Federal Acquisition Regulations which are intended by
Congress to ensure that taxpayer money is used to benefit the public or nation as a whole. Contractors must learn how to operate within these regulations.
Prime contractor Prime contractor is a term defined in the US law. Statutory definitions of prime contract, prime contractor, subcontract, and subcontractor are in . The prime contractor term was already defined before the 8 March 1946 passage of
An Act To eliminate the practice by subcontractors, under cost-plus-a-fixed-fee or cost reimbursable contacts of the United States, of paying fees or kick-backs, or of granting gifts or gratuities to employees of a cost-plus-a-fixed-fee or cost reimbursable prime contractors or of higher tier subcontractors for the purpose of securing the award of subcontracts or orders. (Pub. L.Tooltip Public Law (United States) 79–319, 60 Stat. 37) ==See also==