STA
Simplified Terms Agreement
Definition
A Simplified Terms Agreement is a streamlined contractual arrangement using reduced terms and conditions appropriate for lower-risk, lower-value acquisitions. STAs minimize administrative burden while maintaining essential protections for both government and contractor.
STAs are common in commercial item acquisitions and simplified acquisition procedures where full FAR clauses would be disproportionate to contract value and risk. Understanding when simplified terms apply helps contractors respond appropriately without over-engineering compliance approaches. STAs still include fundamental requirements for performance, payment, and dispute resolution.
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