📅 2026 Update: Important Changes in Contract Law

Since the original article was published, several significant updates have occurred in U.S. contract law. These changes mainly relate to federal acquisition regulations and thresholds. The earlier article continues further down the page and provides foundational information on verbal and written contracts.

📜 Federal Acquisition Regulation (FAR) Overhaul

In May 2026, the FAR underwent a major update. This change aligns it with the Trade Agreements Thresholds. Affected parts include 1, 5, 10, 22, 25, and 52.

These updates can influence federal contracts and how they are structured.

🏗️ Increased Acquisition-Related Thresholds

Effective October 31, 2025, significant inflation adjustments were made. The micro-purchase threshold rose from $10,000 to $15,000, and the simplified acquisition threshold increased from $250,000 to $350,000. These increases make it easier for agencies to procure goods and services without extensive procedures.

⚖️ Truth in Negotiations Act (TINA) Changes

On July 1, 2026, the TINA threshold for Department of Defense contracts went from $2 million to $10 million. This change impacts the types of contracts that require certified cost or pricing data. Contractors should be aware of this adjustment when negotiating terms.

⏳ Processing Times for FOIA Requests

Agencies now have 20 business days to respond to FOIA requests. This timeline is crucial for those seeking information related to contracts and agreements. It is essential for contractors and stakeholders to understand these timelines when making requests.

📌 Key Points to Remember

  • 📅 FAR was updated in May 2026 for alignment with Trade Agreements.
  • 💰 Acquisition thresholds increased: micro-purchase to $15,000 and simplified to $350,000.
  • 🛡️ TINA threshold for DoD contracts is now $10 million.
  • ⏳ FOIA response time is 20 business days.
  • 📝 Understanding these changes is crucial for contract compliance.

💡 Tips for Navigating Contracts

Reviewing contract details with an attorney is vital to understanding how these changes affect your specific situation.

📝 Understand Contract Types

Know the difference between verbal and written contracts. Written contracts are generally more enforceable and can provide clear evidence of terms.

🔍 Review Contract Terms Carefully

Always read the terms of any contract before signing. Pay attention to clauses that may affect your rights, such as dispute resolution or termination clauses.

⚖️ Keep Track of Deadlines

Be aware of any deadlines related to your contracts. This includes filing claims under the Contract Disputes Act, which allows six years for claims to be submitted.

💼 Utilize Electronic Filing Systems

For federal cases, familiarize yourself with the CM/ECF system. This system is mandatory for attorneys and can streamline the filing process.

📄 Take Advantage of Available Resources

Federal agencies are required to assist with FOIA requests. Use these resources to help identify records related to your contracts.

⏩ Consider Expedited Services

If time is critical, consider expedited filing services. These can range from next-business-day to one-hour processing, depending on the urgency of your needs.

🏆 Contract Services Ranked by User Reviews (2026)

The following services provide legal assistance related to contracts and other legal matters. They are ranked based on Trustpilot data as of October 2026. Keep in mind that scores and reviews can change over time, and unhappy customers often leave more reviews.

🥇 1. LegalShield

LegalShield has been rated 4.4 out of 5 stars. It is known for providing legal subscription services and access to a network of attorneys. Users appreciate the affordable legal assistance, although some report difficulties in directly reaching their assigned attorneys.

🥈 2. LawDepot

LawDepot holds a score of 4.0. It is recognized for offering online legal document templates and customizable legal forms. While many users find the solutions affordable, there are reports of issues with document accuracy.

🥉 3. ZenBusiness

ZenBusiness has an impressive rating of 4.8. It specializes in business formation services and compliance assistance. Reviewers highlight its efficiency, but some have experienced delays in processing times.

4️⃣ LegalZoom

LegalZoom averages 4.6 stars. Known for online legal document preparation and business formation services, it has a solid reputation. However, some users have mentioned delays in customer service response times.

5️⃣ Rocket Lawyer

Rocket Lawyer has a Trustpilot score of 4.5. The service offers online legal document creation and legal advice. While it is well-regarded, some users note that the subscription model may not suit everyone's needs.

🆓 Free Government Help

Federal agencies provide guidance for FOIA requests. They assist requesters in identifying records and navigating the process. This can be a valuable resource for those looking into legal matters related to contracts.

🔎 Factors to Compare When Choosing a Service

  • 🏆 Trustpilot scores and reviews
  • 📄 Types of legal services offered
  • 💰 Costs and subscription models
  • ⏳ Processing times for services
  • 🤝 Customer support availability

❓ Frequently Asked Questions

❓ What is the difference between verbal and written contracts?

Verbal contracts are spoken agreements, while written contracts are documented. Written contracts are usually easier to enforce in court.

📄 How can I ensure my contract is enforceable?

To ensure enforceability, have a written contract that includes clear terms and signatures from both parties. This reduces ambiguity.

⏳ What are the typical deadlines for contract claims?

Under the Contract Disputes Act, claims must be submitted within six years after the claim accrues. It is crucial to track these deadlines.

🖥️ How does electronic filing work?

Electronic filing involves registering with the CM/ECF system, preparing documents in a specific format, and submitting them online. This is mandatory for federal cases.

💼 What should I do if I have a contract dispute?

If you face a dispute, first check the disputes clause in your contract. This will outline the process for resolving disagreements.

📞 How can I get help with a FOIA request?

You can submit a written request to the appropriate agency. Agencies are required to assist you in identifying the records you seek.

⚖️ Recent Cases Related to Contracts

Several recent court rulings have addressed issues in contract law, such as enforcement and breach of contract. These cases provide insights into how courts interpret contract terms and disputes.

For further information, you can browse more rulings on the news page.

End of October 2026 Update





Contract law in the legal context of the United States generally allows for a contract which is called into being by the exchange of verbal expressions to be as valid as one which is set forth in writing. This general provision for a verbal contract may, however, be modified in certain jurisdictions by specific contract law requirements for a contract to be set down in specific circumstances and toward specific ends. Moreover, contract law for an area may or may not provide for the difficulties which can arise in carrying out a verbal contract. 

The lack of a written contract can present problems in terms of the lack of proof as to what was agreed to under contract law. As such, judges administering contract law may be forced to apply a standard of fairness in order to resolve the contract dispute. In this way, a verbal contract, while valid, may not be effective.

Verbal Contract V. Written Contract