Common use of UNBALANCED PRICING Clause in Contracts

UNBALANCED PRICING. A. Unbalanced pricing may increase performance risk and could result in payment of unreasonably high prices. Unbalanced pricing exists when, despite an acceptable total evaluated price, the price of one or more contract line items is significantly over or understated as indicated by the application of cost or price analysis techniques. The greatest risk associated with unbalanced pricing occur when –