Debarment

Debarment is an administrative action that excludes a contractor, individual, or organization from receiving federal contracts and participating in government-approved subcontracts for a specified period, typically not exceeding three years. Debarment is imposed when a contractor has engaged in conduct demonstrating lack of business integrity or honesty, including conviction of fraud, antitrust violations, bribery, making false statements, tax evasion, or willful failure to perform contracts. The debarment process includes notice to the contractor, opportunity to respond, and decision by a debarring official. Debarred parties are listed in SAM exclusions and the action applies government-wide. Debarment is a serious remedy intended to protect the government, not punish contractors, and is distinct from contractual remedies.