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3.17 Remedies for Noncompliance

Effects of Suspension and Termination

Costs incurred during a suspension or after termination of a Federal award or subaward are not allowable unless the DOJ grant-making component or pass-through entity expressly authorizes them in the notice of suspension or termination, or subsequently. However, costs during suspension or after termination are allowable if:

  • The costs result from obligations which were properly incurred before the effective date of suspension or termination, are not in anticipation of it; and
  • The costs would be allowable if the Federal award was not suspended or expired normally at the end of the period of performance in which the termination takes effect.