What supporting documents do I need for a T4C settlement claim?

A T4C settlement proposal is only as strong as the documentation behind it. Missing or inadequate supporting documentation is the primary reason proposals stall during TCO review.

Always required: The termination notice from the contracting officer. Your original contract, all modifications, and all task orders affected by the termination. All invoices previously submitted to the government with paid/unpaid status. A cost accounting summary organized by the cost categories in FAR 49.206-2. The FAR 49.207 certification signed by an authorized officer.

Direct cost support: Timesheets and labor records for all employees and contractors charged to the contract. Purchase orders and vendor invoices for materials, equipment, or services procured. Evidence of delivery or performance for all costs claimed.

Indirect cost support: Overhead and G&A rate calculations with the base and pool defined. Prior year actual rates or DCAA rate agreements, whichever applies. Documentation showing consistency with rates used on prior invoices.

Subcontractor documentation: Written termination notices sent to each subcontractor. Each subcontractor's settlement proposal. Your written approval or negotiated agreement for each sub settlement.

Settlement expense support: Invoices from your CPA or accountant for costs related to the settlement. Time records for company employees whose time was spent on settlement preparation.

What happens without these: The TCO issues a Request for Additional Information. You have a limited window to respond. Multiple RAI rounds can stretch a simple settlement into a 12-month process.

T4CClaim generates a customized supporting documents checklist based on your contract type and claim inputs, with FAR citations for each required document category.

RELATED GUIDES

• → What is a FAR 49.206 settlement proposal?
• → Subcontractor pass-through costs
• → Overhead rates in T4C settlements