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Regulations, laws and compliance

Show cause notice

Show cause notice. A show cause notice is a letter from the contracting officer asking the contractor to explain why the contract should not be terminated for default. It often follows a missed delivery date or a failed cure period.

The contractor can explain any excusable causes, such as government delays, changes, or events beyond its control, and present a plan to finish. The notice usually gives a short deadline, often 10 days. Failing to respond can be treated as having no excuse.

Why it matters to a small contractor

Always answer a show cause notice, in writing and on time. Lay out the facts, point to any government delays or changes with dates and documents, and give a realistic plan to finish. This response may be your best chance to save the contract and your record.

Example

A supplier misses a delivery date because the government changed the specification late. They respond to the show cause notice with the change emails and a new delivery date, and the CO extends the schedule.

Show cause notice: common questions

What should I include in a show cause response?

The facts, any excusable reasons for delay with proof, and a specific plan and date for completion.

Is a show cause notice required before default?

It is not always required, but contracting officers commonly use it before a termination for default, especially for late delivery.

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