What is considered an unauthorized commitment?

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An unauthorized commitment is defined as an agreement that lacks proper authority from the Government. This means that when a Government employee makes a commitment or agreement without the legal authority to do so, it does not bind the Government, making it unauthorized.

Proper authority is essential because it ensures that any commitment made is compliant with regulations and policies. Unauthorized commitments can create financial liability for the Government because they do not have the necessary contractual basis, and they can complicate budgeting and procurement processes.

The distinction is important, as authorized commitments have the backing of regulations and laws, which protects both the interests of the Government and the vendor involved. In contrast, unauthorized commitments may require ratification and can lead to potential disputes or issues if the terms are contested.