There are always plenty of decisions reminding us that it is
crucial to follow the regulations for filing, appealing, and
prosecuting claims. In
Westlake Farms, Inc., the CBCA dismissed an appeal for lack
of jurisdiction because it was filed more than 90 days after the
contractor's receipt of the Contracting Officer's decision. In
Rover Construction Co., the ASBCA dismissed an appeal for
failure to prosecute due to the contractor's unexplained failure
to file a brief by scheduled date set by the Board. The ASBCA
dismissed an appeal by
Hill Contracting Co., because the contractor failed to respond to
an order to show that it was represented by a person meeting
the requirements of Board Rule 15(a). In
[Redacted], ASBCA No. 60783 (Feb. 8, 2018), the ASBCA
dismissed an appeal because the contractor failed to rebut
the Government's contention that the issue had been
released in a settlement agreement.
In
Khenj Logistics Group, the ASBCA dismissed an appeal
because the contractor neglected to submit its claim for
more than six years after the Contracting Officer failed
to honor a commitment to pay for materials.
In
Green Valley Co., the ASBCA held that the contractor's
failure to submit its claim within the six year
limitations period was not excused by the pendency of the
Government's suit against the contractor in District Court
or by the contractor's fear that the Government would
respond to the claim by asserting a fraud-based defense.
Subsequently, the ASBCA
denied the contractor's motion for reconsideration.
In
Horton Construction Co., the ASBCA held that: (i) a
contractor that had been decertified by the State of
Louisiana, but then reinstated retroactive to the date of
decertification, had the legal capacity to maintain its
appeal at Board; and (ii) even in the unlikely event that
the individual that had signed the CDA claim certification
(as the company's vice president and as the executrix of
its deceased owner's estate) were ultimately proven to
have lacked authority to do so, that would not deprive the
Board of jurisdiction because it would be a curable defect
in the certification.
In
Anis Avasta Construction Co., the ASBCA held that, absent
contemporary evidence that there was a contract or that the
appellant had performed any work under it, the doctrine of
laches barred a claim for the alleged work because the
contractor waited five years to submit the claim.
In
Acsential Technologies, Inc., the ASBCA dismissed an
appeal filed by the contractor's construction manager
after the contractor failed to respond to orders from the
Board to show that its representative met the requirements
of Board Rule 15(a).
In
ServiTodo LLC, the CBCA dismissed an appeal for failure to
state a claim because the 8(a) contractor, which had entered a
global settlement agreement with HHS that barred all further
claims under the contracts at issue, could not bring a separate
claim under the same contracts against the SBA simply because
the contractor was dissatisfied with the settlement amount, the
SBA having acted only as an agent to bring HHS and the
contractor together under the 8(a) program.
In its latest decision in the JBG/Federal Center, L.L.C.
appeal, the CBCA
denied the contractor's motion for partial
reconsideration of the Board's
earlier decision and reaffirmed the Board's view that
the Government's claim for reimbursement of excess taxes
was, in these circumstances, a continuing claim not barred
in its entirety by the six-year limitations period.
In
Aerospace Facilities Group, Inc., the ASBCA found an
appeal filed more than 90 days after a default termination
decision to be timely because, even though the Contracting
Officer never used the term "reconsider," the Government's
emails to, and statements during teleconferences with, the
contractor following the termination reasonably led
contractor to believe the termination decision was not
final and was being reconsidered. However, in
RAKS Fire Sprinkler LLC, the CBCA dismissed (as
untimely) an appeal filed 92 days after the contractor's
receipt of a revised notice of termination adding an
explanation of its appeal rights that had been missing
from the original document.
In
Eur-Pac Corp., the ASBCA dismissed (as untimely) two
appeals filed two days beyond the 90-day window because
the contractor's email to the Contracting Officer within
the 90-day window (stating the company "is not recognizing
these cancellations and is filing protest to your action.
. . . This needs to be elevated to the next level in your
chain of command for resolution and I expect to hear from
them directly.") was not sufficient evidence of an intent
to appeal to the Board.
In a decision the Board states is intended to resolve
conflicting decisions from its predecessor boards, the CBCA held
that
Hof Construction, Inc.'s appeals from two government claims
(a default termination and a consequent assessment of
liquidated damages) were untimely (even though the
Contracting Officer's decisions on both claims omitted
significant language supposedly required by the CDA
concerning the contractor's appeal rights) because the
contractor had "not shown reasonable, detrimental reliance
on a defect in the notice of appeal rights that could
extend the appeal period by enough to make the appeal
timely as to either claim."
In
United Liquid Gas Co. d/b/a United Pacific Energy, the CBCA
dismissed (as time barred) the Government's claims for invoice
overpayments made more than six years prior to the Contracting
Officer's decision asserting the Government's claims.
In
Piedmont-Independence Square, LLC, the CBCA held, inter
alia, that: (i) as a matter of well-established contract
law, the contractor was not entitled to recover lost rent as a
consequence of government delays to the completion of renovation
work prior to the start of a 15-year building lease; and (ii)
the contractor's appeal on the issue of the Government's offset
of its costs to purchase IT equipment was untimely because it
was not filed within 90 days of the Contracting Officer's
decision that had clearly described the Government's claim,
included a sum certain, and notified the contractor of its
appeal rights, even though that decision had been issued in
response to the contractor's REA.
In
PRN Assocs., Inc., the ASBCA dismissed appeals as moot
after the Government rescinded its decisions on its claims
against the contractor.
Over a dissent, the ASBCA held in
Parsons Evergreene, LLC, that FAR 22.406-1 does not create a
cause of action for contractors who seek to recover the costs
associated with the Government's untimely investigation of
complaints related to labor standards.
In
Delta Industries, Inc., the ASBCA: (i) declined to
dismiss (as premature) an appeal filed 20 days after the
submission of the claim to the Contracting Officer
because, as of the date of the Board's decision on the
Government's motion to dismiss, which was more than six
months after claim was submitted, the Contracting
Officer's decision still had not issued; and (ii) denied
the Government's motion to dismiss, which argued that the
Board lacked jurisdiction over the withdrawal of a
unilateral purchase order, because the contractor's appeal
alleged the existence of a bilateral contract (so it was
the Government's motion that was essentially found to be
premature).
In
Electric Boat Corp., the ASBCA held that the prime's
claim was barred by the six-year limitations period in
part because: (i) the prime's and sub's claims had
different accrual dates; (ii) the prime was not required
to wait to file its claim at the same time as the sub;
(iii) the claim accrual date is not suspended while a
party performs an analysis to determine the precise amount
of damages; and (iv) neither the continuing claim doctrine
nor equitable tolling were available to the prime to
extend the claim accrual date in this situation.
Jurisdiction
In
First Nationwide Holdings LLC, the PSBCA held that the
Debt Collection Act does not give the Board the authority
to order a delay in the Government's collection of offsets
pending the outcome of proceedings at the Board.
The ASBCA
dismissed a claim by
Tawhid Afzali Construction Co. for lack of
jurisdiction because (i) the evidence indicated the
contract at issue had been awarded to a different
contractor altogether, and (ii) the claim did not state
the amount of money the purported contractor was claiming.
In
John C. Grimberg Co., the ASBCA held: (i) it had
jurisdiction over a count for superior knowledge added in
an amended Complaint because that new count was based on
the same operative facts as the original claim; and (ii)
any prejudice that might otherwise be attributed to the
tardy submission of the amended Complaint on the eve of
the original hearing date was mitigated by fact that the
hearing had since been postponed and the Government,
therefore, had time to respond to the amended Complaint,
e.g., by deposing additional witnesses.
In
Alcazar Trades, Inc., the CBCA dismissed an
appeal for lack of jurisdiction because the DOL has exclusive jurisdiction
to decide whether a new collective bargaining agreement should form the basis
for a revised wage determination in a contract.
In
Corbin's Trucking, Inc., the PSBCA dismissed an appeal for
lack of jurisdiction because a letter terminating a
contract pursuant to the Postal Service's "Termination with
Notice" clause (which provides for termination by either party
on 60 days’ notice without cost) is not an appealable
Contracting Officer's decision (as opposed to a termination for
default).
In
John Shaw LLC d/b/a Shaw Building Maintenance, the ASBCA
dismissed the contractor's claims for punitive damages (because
the Board lacks authority to award them) and for "missed
opportunities" (because these are consequential damages that are
too remote and speculative to be recovered against the
Government). Subsequently,
the ASBCA denied
the contractor's motion for leave to amend its complaint to
include a count for
exemplary damages.
In a subsequent
John Shaw LLC decision, the ASBCA: (i) dismissed a
claim for unpaid invoices because the contractor
previously acknowledged having received payment; (ii)
dismissed a claim for missed opportunities (lost profits)
on contracts other than those at issue in the appeal
because such speculative, consequential damages are too
remote; (iii) dismissed a claim for exemplary
(punitive) damages for lack of jurisdiction; (iv) denied
the contractor's motion for reconsideration of a prior
board decision denying the contractor's motion to compel
discovery because, inter alia, the requested
discovery concerned claims the Board had dismissed; and
(v) denied the contractor's motion to reconsider portions
of various precedential board cases decided 17 years in
the past.
In
Areyana Group of Construction Co., the ASBCA dismissed
an appeal because the contractor had had failed to
certify its claim in excess of $100,000. The ASBCA dismissed appeals by
Areyana Group of Construction Co. and Sea Cycle Construction Co. for failure to certify their claims.
In
Mayberry Enterprises, LLC,
the CBCA dismissed, for lack of jurisdiction, the contractor's uncertified monetary claims in excess of $100,000, but retained jurisdiction over individual, segregable claims that were less than that amount.
In
PROTEC GmbH, the ASBCA held it had jurisdiction over appeals
from Contracting Officer's decisions that were not based on the
suspicion of fraud even though the contractor was under
investigation for possible fraud.
In
Afghan Washington Construction Co., the ASBCA dismissed an
appeal filed from a fake email address by an individual who
apparently was impersonating the contractor's President.
In
Duke Univ., following
the CAFC's precedent in
Securiforce International America, the CBCA held it
lacked jurisdiction over a unquantified, uncertified claim
purportedly for contract interpretation, which, if
granted, would entitle the contractor to costs already
incurred when the claim was submitted--costs that could
(and, therefore, should) have been quantified in the
original claim letter.
In
Devin Richardson, the CBCA dismissed an appeal not based on
a CDA procurement contract for lack of jurisdiction. In
Hill-Rom Co., the Board dismissed an appeal signed by
the contractor's credit department supervisor, because she was not an
"authorized representative" of the company.
In
Precision Metals Corp., the ASBCA dismissed an appeal for
lack of jurisdiction because: (i) the appeal was filed more than
90 days after the contractor's receipt of a termination notice;
and (ii) the Contracting Officer had not reconsidered the
termination decision.
In
Cooper/Ports America, LLC, the ASBCA denied the Government's
motion to dismiss for lack of jurisdiction, holding that a valid
novation agreement making the appellant the successor in
interest entitled it to pursue a claim that had accrued prior to
execution of the novation.
In
Western Trading Co., the ASBCA dismissed an appeal for lack
of jurisdiction because it was not filed within 90 days of the
default termination at issue (actually four years had passed).
In
Michaelson, Connor & Boul, over a dissent, the CBCA
held it had jurisdiction to hear an appeal based on the
same operative facts as those contained in the claim
presented to the Contracting Officer, even though, as
stated in the heading to one section of the Board's
opinion, the contractor's Complaint on appeal "Fail[ed] to
Set Forth Facts Supporting the Existence of a Contract or
Legal Theory for Its Claim. . . ."
In
Fluor Federal Solutions, LLC, the ASBCA held it had jurisdiction over
a claim for an estimated amount that included a
detailed explanation of how the estimate was calculated.
In
PROTEC GmbH, the ASBCA: (i) denied the Government's motion to strike
the portion of the Complaint requesting the Board to remand
the case to require the Contracting Officer to revisit his performance
(CPAR)
evaluation because that request was not considered a demand for specific performance and
was within
Board's jurisdiction; but (ii) granted the Government's motion to strike
the portions of
the Complaint specifically seeking quantum meruit recovery,
because the Board lacks jurisdiction over such requests.
In
Walker Development & Trading Group, Inc., the CBCA denied
the Government's motion to strike the portions of the
contractor's Complaint beyond its challenge to a default
termination for lack of jurisdiction, finding the challenged
sections were based on the same operative facts as the claims
presented to the Contracting Officer: "[The contractor]
describes the same course of events that it alleged in its
claims, but sometimes characterizes the events differently and
uses different labels to set forth its legal theories."
In
NVS Technologies, Inc. appeal, the CBCA dismissed a claim for "lost profits" first raised during board
proceedings on appeal because it was a new claim factually and legally
distinct from references to lost opportunity costs discussed in the claim
previously submitted to the
Contracting Officer.
In
Godwin Corp., the ASBCA held that the Government's
undertaking to review additional documentation in
connection with a partial termination after the
90-day appeal period had passed did not extend the
deadline.
In
B&F Distributors, LLC, the CBCA dismissed (as untimely) an
appeal filed nearly eight years after the Contracting Officer's
decision, holding essentially that a reference in the decision
to an attachment (a spreadsheet) that was missing from the
document did not render the decision defective so as to toll the
appeal period.
In
H2L1-CSC, JV, the ASBCA dismissed another appeal for
lack of jurisdiction because the contractor's attempt to
convert an REA into a claim simply by means of a telephone
call was ineffective.
In
Parwan Group Co., the ASBCA held it lacked
jurisdiction over the counts in the contractor's Complaint
alleging: (i) commercial impracticality (because those
allegations differed materially from the allegations in
the original claim to the Contracting Officer, which
concerned contract interpretation involving the allegedly
unanticipated costs of a change in Afghan law that
required the contractor to provide security escorts for
shipments); (ii) equitable estoppel (because these
allegations, too, differed from those in the original
claim, which alleged neither misleading conduct by the
Government nor reliance thereon by the contractor); and
(iii) breach of the implied duty to cooperate (because the
original claim did not allege any unreasonableness by the
Government in attempting to resolve the contractor's
requests for reimbursement). The Board dismissed two other
sections of the Complaint for failure to state a claim
upon which relief could be granted: (i) allegations of
entitlement to relief under the Changes clause (because
there was no allegation of a written change order); and
allegations of a constructive change (because there was no
allegation the change was ordered by the Government--in
fact, the contractor conceded the change was necessitated
by Afghan law).
In
Elkton UCCC, LCC, the CBCA dismissed an appeal for
lack of jurisdiction because (even though the Contracting
Officer had issued a "final decision" that notified the
contractor of its appeal rights) the contractor's letter
to the Contracting Officer was neither a monetary claim
(lacking a statement of a sum certain) nor a claim for the
interpretation of contract terms (containing no
substantive issues for interpretation).
In
Hensel Phelps Construction Co., the ASBCA: (i) held it
lacked jurisdiction over a Contracting Officer's "decision"
revoking prior acceptance of the contractor's work,
demanding replacement of the allegedly defective work, and
threatening a set-off "currently estimated at $2,900,000" if the
contractor did not complete the replacement by a stated date,
because, to be a valid Government monetary claim, it would have
required a sum certain; but (ii) exercised jurisdiction over the
contractor's appeal from the same decision, in which the
contractor sought only a
declaratory judgment from the Board that the contractor had fulfilled its
obligations under the contract without the need of performing
the repairs the Contracting Officer had demanded.
In
Coastal Environmental Group, Inc., the ASBCA held
that: (i) under the applicable law of the contractor's
state of incorporation, the corporation's dissolution
after the date of a default termination did not deprive
the contractor of its right to contest the termination;
(ii) the Government's termination for failure to
make progress was reasonable because 50 days prior to the
contract completion date, the contractor notified the
Government it "intended" to mobilize "within the next
three weeks" where it had previously provided the
Government a schedule showing mobilization would require
three days and then contract work would require an
additional 58 days; and (iii) the contractor had waived
any claims for excusable delays by the release language in
a bilateral mod lifting a stop work order. In another
Coastal Environmental Group, Inc., appeal involving
the same default termination, the ASBCA held it lacked
jurisdiction over the terminated contractor's appeal
seeking to recovery monies its surety agreed to pay the
Government for reprocurement charges because the
terminated contractor was not party to that agreement
between the surety and the Government.
In
Engineering & Environment, Inc., the CBCA dismissed
(for lack of jurisdiction) an appeal involving a contract
with the Department of the Air Force, which should have
been directed to the ASBCA.
In
Starwalker PR LLC, the ASBCA granted the Government's
motion to dismiss the appeal because the contractor did
not prove it had submitted a claim to the Contracting
Officer.
The CBCA dismissed an appeal by
Development Alternatives, Inc., on behalf of ERSM (Afghanistan) Limited,
d/b/a Edinburgh International
for lack of jurisdiction because the purported claim certification submitted by
the prime contractor in
sponsoring the subcontractor's claim was so deficient it could not be
corrected, having failed to make any of the four required
statements correctly (and having
omitted the second and fourth required statements entirely).
In
Parsons Evergreene, LLC, a very lengthy opinion concerning a
plethora--too many to summarize here--of quantum and entitlement
issues on various claims concerning the "completion of design
and construction" phase of a contract with a non-appropriated
funds instrumentality (NAFI) to construct a temporary lodging
facility and visitors quarters at McGuire AFB, the ASBCA held,
inter alia, that: (i) the Government
(improperly) failed to alert appellant to possible mistakes in
its bid (which bid the Board finds reasonable); (ii) the
Government failed to challenge specific elements of the
contractor's claimed costs, which means its incurred costs are
deemed reasonable; (iii) the contractor was not entitled to
recover on its subcontractor "buyout" overrun claims because the
contractor had failed to lock in its subcontract prices in a
timely manner; and (iv) although the CAFC has explicitly
declined to address the continued viability of the so-called "NAFI
doctrine" as it applies to board appeals, the ASBCA concludes it
has CDA jurisdiction over this NAFI appeal and that, therefore,
the contractor is entitled to CDA interest on the amounts found
owing on its claims. Subsequently the Board
denied the contractor's motion for reconsideration.
In
Parsons Evergreene, LLC, the ASBCA denied the Government's
motion (submitted years after the original claim) to dismiss one
section of the claim for lack of jurisdiction in that it
allegedly lacked sufficient information to give the Contracting
Officer adequate notice of the claim, because the Contracting
Officer had considered the claim, had obtained a DCAA audit
report on it and a technical review of it, and had issued a
lengthy and detailed final decision concerning it, all of which
established to the Board's satisfaction that the original claim
was sufficiently detailed to give adequate notice to the
Contracting Officer.
In
Long Wave, Inc., the ASBCA: (i) denied the
Government's motion to dismiss for lack of jurisdiction
because the motion actually involved the merits of the
case (e.g., whether the contract specialist had the
authority to bind the Government to an alleged
settlement), and it was undisputed that there was an
underlying contract and that the contractor had submitted
a claim; and (ii) held that the appeal was timely because
it was based on the deemed denial of a later claim that
differed from the original claim on which the Government
was basing its allegation of untimeliness.
The CBCA dismissed an appeal by
Veterans Contracting, Inc., for lack of jurisdiction because
the original submission to the Contracting Officer did not state
a sum certain, was not certified, and did not clearly request a
Contracting Officer's decision.
In
Charles F. Day & Assocs. LLC, the ASBCA held that: (i) it
lacked jurisdiction over a claim on appeal that was based on
different operative facts from the claim originally presented to
the Contracting Officer; (ii) the contractor failed to prove
that any out-of-scope work it performed actually increased its
costs of performance; (iii) the contractor failed to meet the
high burden of proof required to establish that it entered a
bilateral modification only under duress; and (iv) contrary to
the contractor's contention, that modification was supported by
consideration.
In
Interaction Research Institute, Inc., the ASBCA denied the
Government's motion to dismiss because
the appellant's contention that it was properly retained to
perform training services by means of documents that
subsequently were either lost or destroyed over time constituted
a non-frivolous allegation of an implied-in-fact contract
sufficient to sustain the Board's jurisdiction.
In
Hejran Hejrat Co., the ASBCA held it lacked
jurisdiction over an appeal from a Contracting Officer's
decision on what the contractor labeled an REA because the
contractor repeatedly had averred that its REA was not a
claim. Subsequently, the CAFC
reversed the Board's decision.
In
Centerra Group, LLC f/k/a The Wackenhut Services, Inc.,
the ASBCA denied the Government's motion to dismiss the
appeal because: (i) the contractor's claim for
reimbursement of overtime pay to which the affected
employees had already been adjudged to be entitled under a
binding arbitration decision arising out of a collective
bargaining agreement was not a dispute "concerning labor
standards requirements" under FAR 52.222-41(t), which
would be within the exclusive jurisdiction of the DOL; and
(ii) even if FAR 52.222-41(t) were to apply, the
appeal was not premature because the final arbitration
award did not permit or require any further action by the
DOL for its enforcement.
In
WIT Assocs., the ASBCA denied the Government's motion
to dismiss for lack of a CDA claim certification because
the originally submitted certification included at least
one of the required statements, and, therefore, was
correctable.
In
Austin Logistic Services Co., the ASBCA denied a claim
for the alleged lease expenses of housing the contractor's
employees who were performing maintenance duties at Bagram
Airfield in Afghanistan because, inter alia, the
purported lease document did not state the beginning and
ending dates of the lease (and a subsequent document that
allegedly included the dates was not submitted in
English or translated) and the contract provided that the
contractor's workers could be billeted at the base.
In
Buck Town Contractors & Co., the ASBCA denied the
contractor's motion for partial summary judgment because
the plain meaning of the contract was at variance with the
contractor's proposed interpretation. The contractor had
supported its argument with a dictionary definition of the
disputed term, and the Board had to interpret the
dictionary definition, itself, in order to evaluate the
contractor's position.
In
Securityhunter, Inc., the ASBCA held that paragraph (d) of
FAR 52.216-22 (the "Indefinite Quantity" clause), which states
in part that "the Contractor shall not be required to make
deliveries under this contract after 365 days after contract
award," did not relieve the contractor of its obligation
to complete a fixed-price task order, whose original performance
period was within the contract's term, simply because the
contractor had not completed the work when the contract's term
ended, noting: "Relieving [the contractor] of its contractual obligations to complete
[the] work merely because it failed to perform on time would render the contract illusory and void [because the contractor] could simply
decline to perform without any consequences." The Board
also rejected the contractor's attempt to blame its
performance delay on the Government because that delay
claim had not previously been presented to the Contracting
Officer for a decision.
In
Great America Construction Co., the ASBCA held that
the contractor had failed to prove that (i) it had
performed one month of extra services and (ii) an
authorized government representative had ordered the work
(especially in light of a credible affidavit from the
individual who had purportedly sent an email supporting
the contractor's contentions denying she had sent the
email and noting she had not even been employed by the
Government at the time).
In
UNIT Co., the ASBCA denied the Government's
motion for summary judgment that the contractor had failed to provide
timely, contractually-required notice of a discrepancy in
the specifications or drawings under clause
52.236.21(a) because: (i) nothing precludes such notice from being
found in an RFI; (ii) whether the RFIs at issue were
sufficient to convey the notice was a disputed question of
fact; and (iii) the Government had provided no evidence of
prejudice from the alleged lack of notice, which is a
requirement for resolving such issues.
HAL-PE Assocs. Engineering Services, Inc. won its appeal at
the CBCA after the Government failed to identify any contract
requirement for the extra work it had directed the contractor to
perform.
In
R.L. Persons Construction, Inc., the ASBCA denied the
Government's motion for summary judgment that the contract
lacked the positive indications of conditions at the site
(which would be necessary for a finding of the Type I
differing site condition alleged by the contractor)
because the contract contained a latent ambiguity on this
issue.
In
Kellogg Brown & Root Services, Inc., the ASBCA denied the
contractor's appeal of a Contracting Officer's decision denying
the contractor's claim for subcontractor costs and asserting a
government claim for subcontractor costs basically because the
contractor had failed to implement an ACO's letter of technical
direction (LOTD), which the Board determined was a type of
document that the parties routinely treated as a directive that
was to be followed by the contractor. Subsequently, the Board
denied the contractor's motion to amend the judgment.
In
Shams Walizada Construction Co., the ASBCA denied a claim
for an allegedly "late payment" because the contractor failed to
show it submitted a request for the original payment and because
the claim was barred by a bilateral modification operating as a
release and an accord and satisfaction.
In
BCPeabody Construction Services, Inc., the CBCA held,
inter alia, that: (i) the Government had delayed the
contractor's work on a firm, fixed-price design build task order
for an "unreasonably" long period (179 days) under the
"Suspension of Work" clause, entitling the contractor to delay
damages, including (a) general conditions and (b) some, but not
all, of claimed personnel costs for its project managers, but
(c) none of its claimed costs for unabsorbed home office
overhead (because the suspension was for a definite period known
in advance and the contractor did not prove that it incurred
"standby" costs; (ii) the contractor was not entitled to recover
for a Type II differing site condition (mainly because the
Government was prejudiced by the contractor's failure to give
timely notice of the alleged condition); (iii) the contractor
was not entitled to recover for several alleged changes that
actually were for items included in the fixed-price contract;
(iv) the jury verdict method should be used to determine a
reasonable approximation of the amount owed the contractor for
another changes claim whose quantum was not susceptible of exact
calculation; (v) the fixed-price nature of the contract
precluded the agency from recovering for the contractor having
to deliver less equipment than originally estimated in the task
order; and (vi) the agency's claims for deficient work must be
denied (because the agency did not prove the work it claimed was
defective failed to meet the specification requirements and,
even if it did not, the agency failed to provide the contractor
with the opportunity to correct the work).
In
Merrick Construction, LLC, the ASBCA held that the general
release signed by the contractor, without any reservations or
exceptions, as part of contract close-out in order to obtain
final payment barred the contractor's subsequent claim, despite
the contractor's attempts to raise various excuses (e.g.,
superior knowledge, unilateral mistake, mutual mistake) to avoid
that result.
In
DynCorp International LLC, the ASBCA denied the Government's
motion for partial summary judgment based on alleged collateral
estoppel because the issue in a prior appeal on which the
Government's motion was based (data incompleteness) differed
from the issue in the current appeal (data inaccuracy).
In
JBG/Federal Center, L.L.C., the CBCA held: (i) it was
appropriate to consolidate appeals involving separate contracts
but the same issue; (ii) the plain language of a building lease
precluded the lessor's recovery of real estate taxes on the
parking garage except for the parking spaces specifically leased
to the Government; and (iii) the portion of the Government's
claim for repayment of excess real estate taxes reimbursed to
the contractor prior to September 2010 was barred by CDA's
six-year limitations period.
In
PJP Building Six, LC, a decision involving contract
interpretation, the CBCA held that: (i) a building lease
permitted VA to terminate only at the end of its first 60
months, not at any time thereafter; and, therefore, (ii) the VA
was liable for early termination of the lease after eight years
of its ten year term. The Board rejected the VA's proffer of
extrinsic evidence because the lease provision at issue was not
ambiguous (the parties having marked-up the original lease
document to essentially rule out the VA's current
interpretation).
In
Mare Solutions, Inc., which consolidated different
appeals, each involving the interpretation of a contract
for the construction of a parking garage at a VA medical
center, the CBCA held, inter alia, that: (i) the
testimony by the contractor's two experts as to where
expansion couplings were required to be installed was
persuasive; and (ii) a conflict between the specifications
and drawings was resolved by the order of precedence
provision stating that the specifications would take
precedence and, therefore, the contractor was required to
provide the head-end equipment for the video surveillance
system.
The ASBCA denied an appeal by
Black Tiger Co. because the Government presented credible,
unrebutted evidence that no contract existed between the parties
and that no equipment had been delivered by the appellant.
In
Cubic Defense Applications, Inc., the ASBCA denied a
motion for summary judgment because a release and
settlement agreement exempted claims that arose in the
future and the contractor's claim regarding its assertion
of limited data rights arose after that execution of the
agreement.
In
Patrick M. Murray, the PSBCA held,
inter alia,that the contractor (i) was not excused
from further performance simply because he disagreed with a
government direction to comply with one of the contract's
specific requirements and (ii) did not establish that he signed
a contract extension that contained the disputed requirement
under duress when he was free simply to have declined to extend
the contract.
In
Relyant, LLC, the ASBCA held that, although the
Government was under no obligation to change the
SOW's requirements, it unreasonably delayed in
responding to the contractor's repeated requests to do
so, knowing that the delays in responding were causing the
contractor to incur additional costs. Subsequently, the
Board
denied the contractor's motion for partial
reconsideration.
In
General Dynamics Information Technology, after
determining that the contract allocated to the contractor
the duty of locating the utilities at a construction site,
the ASBCA held that costs of repairing a utility "strike"
(damage) were the contractor's responsibility.
The ASBCA denied an appeal by
Team Hall Venture, LLC, dba Limeberry Frozen Yogurt
involving a claim for breach damages because the contract
termination agreement signed by the contractor
specifically waived all further monetary claims.
In
CiyaSoft Corp., although the ASBCA held that it lacked
jurisdiction over allegations not included in the claims
originally submitted to the Contracting Officer and that
certain other allegations must fail for lack of proof, the
Board concluded that the Government had violated the terms
of a commercial software license agreement that was part
of the contract by (i) permitting the installation of a
single copy of the software onto more than one computer,
and (ii) failing to provide the contractor with a list of
the registered users--all this despite the fact that the
Contracting Officer had no idea what was contained in the
software licenses. Subsequently, the Board
denied the Government's motion for reconsideration.
In
North American Landscaping, Construction, and Dredge, Co.,
the ASBCA, inter alia,found that, as part of a
pattern of overreaching by the Contracting Officer beginning
with contract inception, a release in a settlement agreement
signed by the contractor was ineffective because the
contractor's signature had been obtained only under duress,
specifically the improper threat of a default termination and a
forced bankruptcy.
In
CDM Constructors, Inc., the ASBCA granted the
Government's motion for summary judgment because the delay
damages claimed by the contractor were not caused by the
suspension of work during a bid protest.
In
Pros Cleaners, the CBCA denied a claim alleging the
Government had failed to order the required services under what
the appellant maintained was an ID/IQ contract because: (i)
although the solicitation had referred to an ID/IQ contract, the
document, itself, did not include a guaranteed minimum quantity
and, thus, was defective for lack of consideration; and (ii) the
Government had never ordered any services from the appellant.
In
TranLogistics LLC, a decision partially involving contract
interpretation, the ASBCA held that: (i) the contractor's
shipment delays at the border were excused because, contrary to
the Government's position, the Government was responsible for
providing the customs documentation and failed to timely do so;
and (ii) the contractor was entitled to the remaining balance of
the contract price but not to (a) claimed amounts for delays
that were excusable but not compensable and (b) claimed costs of
compensable delays for which it did not provide adequate proof.
Subsequently, the contractor's motion for reconsideration
was
granted because the time and cost of demurrage was
adequately identified in its subcontractor's invoice.
In
Penna Group, LLC, the CBCA denied the contractor's
appeal involving a claim for extra work because the
Government had made final payment in reliance on a form
releasing all claims, which bore a stamp of the company
President's signature, despite the fact that the President
later claimed he had not authorized the employee with the
stamp to use it on the release document.
In
Parsons Evergreene, LLC, a very lengthy opinion concerning a
plethora--too many to summarize here--of quantum and entitlement
issues on various claims concerning the "completion of design
and construction" phase of a contract with a non-appropriated
funds instrumentality (NAFI) to construct a temporary lodging
facility and visitors quarters at McGuire AFB, the ASBCA held,
inter alia, that: (i) the Government
(improperly) failed to alert appellant to possible mistakes in
its bid (which bid the Board finds reasonable); (ii) the
Government failed to challenge specific elements of the
contractor's claimed costs, which means its incurred costs are
deemed reasonable; (iii) the contractor was not entitled to
recover on its subcontractor "buyout" overrun claims because the
contractor had failed to lock in its subcontract prices in a
timely manner; and (iv) although the CAFC has explicitly
declined to address the continued viability of the so-called "NAFI
doctrine" as it applies to board appeals, the ASBCA concludes it
has CDA jurisdiction over this NAFI appeal and that, therefore,
the contractor is entitled to CDA interest on the amounts found
owing on its claims.
In
SKE Base Services GmbH, a decision involving contract
interpretation, the ASBCA held that: (i) the only reasonable
interpretation of the plain language of a housing maintenance
services contract's Variable Monthly Workload Calculation clause
was that it allowed for price adjustments only for changes in
the number of housing units to be maintained, not for
changes in the number of service calls; and (ii) the
contractor's erroneous prediction of the number of service calls
that would be required under the contract did not establish the
elements necessary for reformation of the contract due to a
mutual mistake of fact.
The CBCA denied an appeal by
Adams and Assocs., Inc. because, pursuant to the terms of
its cost-plus-incentive-fee contract (specifically, the
requirements of FAR 31.205-36), after the sale and leaseback of
a building, the contractor was limited to the normal costs
of ownership of the building, rather than being able to recoup
full rental charges as it had sought to do.
In
OMNIPLEX World Services Corp., a decision involving contract
interpretation, the CBCA held that a guard services contract's
provisions unambiguously permitted the agency to take the
deductions it had when an open post occurred (i.e.,
when a post was unstaffed or staffed by one who failed to meet
contract requirements) and that, even if there had been an
ambiguity, it was patent, placing on the contractor the duty to
inquire.
The CBCA sustained an appeal by
Outback Firefighting, Inc., holding that the contractor was
entitled to recover its costs to repair equipment (tents) rented
to the Forest Service after a severe windstorm damaged the tents
before the contractor could take them down after the Forest
Service had left the site because the contract provisions
assigned the risk of loss to the Government until the equipment
was returned to the contractor's facilities and because a
windstorm could not be considered "ordinary wear and tear" or
"mechanical failure" within the meaning of the relevant contract
provision.
In
CDM Constructors, Inc., the ASBCA held, inter alia,
that: (i) concept drawings provided by the Government for a
generator were defective specifications because the Government
rejected a contractor design that followed those drawings;
and (ii) requiring the contractor to use a 0.8 evaporation
coefficient only if the maximum water depth was three feet or
less constituted a constructive change because the contract
documents did not require any particular evaporation coefficient
for any particular water depth. Subsequently, the Board
denied the Government's motion for reconsideration.
In
Tidewater, Inc., the ASBCA held that the contractor had
failed to establish the elements for a Type I differing site
conditions claim because adverse weather, alone, does not
constitute a basis for such claims, and there were no
indications in the contract of soil conditions differing from
those the contractor actually encountered.
In
Ruby Emerald Construction Co., the ASBCA held that an
unambiguous, bilateral modification cancelling a contract at no
cost operated as an accord and satisfaction barring the
contractor's subsequent claim.
The ASBCA held in
John C. Grimberg Co.,
inter alia, that: (i) the contractor had encountered a Type I differing site condition in
the form of rock quantities that greatly exceeded the indications in
the contract; and (ii) the contractor was entitled to a portion of its claimed impact costs
from delays associated with the differing site condition.
Subsequently, the
ASBCA
denied the Government's motion for reconsideration.
In
ECC International, LLC, the ASBCA held that the
contractor was not entitled to extra compensation for the
Government's closure of the Friendship Gate access route
to a construction site in Afghanistan because: (i) the
Government did not create an implied warranty of access
through the Gate by approving the contractor's security
plan; (ii) prior contracts between contractor and various
agencies did not amount to a course of dealing
establishing a contractual right under the current
contract to use the Gate; and (iii) access through the
Gate was not a contract requirement so its loss could not
be a constructive change to the contract. The case boiled
down to the fact that the contract and the circumstances
clearly put the contractor on notice that security
concerns made the performance environment unpredictable.
In
L&M Technologies, Inc., the ASBCA had to resolve
issues concerning the meaning of a contract provision
concerning the amount the contractor was permitted to bill
for indirect rates and whether a contract modification
operated as a release or accord and satisfaction, and the
Board used the rules of contract interpretation to decide
both issues. The Board also resolved the question of which
of two diametrically opposed declarations should be
accepted by looking at contemporaneous documentation to
determine which declaration was more consistent with it.
In
First Kuwaiti Trading & Contracting, W.L.L., the CBCA parsed a
sentence in a way that would thrill my high school English
teachers and concluded, inter alia, that the "War
Risks" clause in a fixed-price contract did not permit the
contractor to recover on claims for danger pay to its
employees or delays encountered by truck convoys.
In
Charles F. Day & Assocs. LLC, the ASBCA held that: (i)
it lacked jurisdiction over a claim on appeal that was
based on different operative facts from the claim
originally presented to the Contracting Officer; (ii) the
contractor failed to prove that any out-of-scope work it
performed actually increased its costs of performance;
(iii) the contractor failed to meet the high burden of
proof required to establish that it entered a bilateral
modification only under duress; and (iv) contrary to the
contractor's contention, that modification was supported
by consideration.
In
Expresser Transport Corp., the ASBCA granted the
Government's motion for summary judgment and held that the
contractor had waived its claim for indemnification under
a time charter vessel contract by failing to submit the
claim within two years of vessel redelivery in accordance
with a clear contract provision entitled "Waiver of
Claims" that required "all claims" to be submitted within
that period of time. In light of the unambiguous contract
provision, the Board rejected the contractor's requests
for discovery as unnecessary and because they "do not rise
above the level of a speculative hope, and amount to
little more than the suggestion that something might turn
up."
The
ASBCA denied a convenience termination claim by
American Boys Construction Co. because the contractor
failed to submit its termination settlement proposal within
one year of the termination.
In
J.R. Mannes Government Services Corp., the CBCA denied an
appeal because the contractor failed present anywhere near
enough evidence to support its allegation that the Government's
bad faith motivated a termination for convenience.
The ASBCA
dismissed an appeal by
Abdul Khabir Construction Co. because the contractor failed to submit
its termination settlement proposal within
one year of its termination for convenience.
In
Green Bay Logistic Services Co., the ASBCA denied a
convenience termination claim because the contractor had not
performed any percentage of the contract work prior to
the termination, i.e., it had failed to deliver any
leased vehicles that met the contract requirements.
In
OCCI, Inc., the ASBCA denied an appeal from the Government's
assessment of liquidated damages for late completion because the
contractor failed to submit any (defensive) CDA claims asserting
entitlement to time extensions, as required by the CAFC's
precedent in
M. Maropakis Carpentry, Inc.
In
American International Contractors, Inc., the ASBCA held,
inter alia, that the Government was entitled to retain
liquidated damages for the portion of the work separate from additional
work added by a contract modification that established a new
delivery date just for that work.
In
AEY, Inc., which involved consolidated appeals from multiple
default terminations of CLINs in related contracts for
ammunition that the ASBCA, nevertheless, determined were
severable contracts, the Board sustained most of the challenges
because, inter alia,: (i) absent a cure notice, the
termination of CLINs not yet due was improper; and (ii) the
Government waived the original contract delivery dates in
several instances by inaction in the face of notices of delays
from the contractor.
In
Coastal Environmental Group, Inc., the ASBCA held
that: (i) under the applicable law of the contractor's
state of incorporation, the corporation's dissolution
after the date of a default termination did not deprive
the contractor of its right to contest the termination;
(ii) the Government's termination for failure to
make progress was reasonable because 50 days prior to the
contract completion date, the contractor notified the
Government it "intended" to mobilize "within the next
three weeks" where it had previously provided the
Government a schedule showing mobilization would require
three days and then contract work would require an
additional 58 days; and (iii) the contractor had waived
any claims for excusable delays by the release language in
a bilateral mod lifting a stop work order. In another
Coastal Environmental Group, Inc., appeal involving
the same default termination, the ASBCA held it lacked
jurisdiction over the terminated contractor's appeal
seeking to recovery monies its surety agreed to pay the
Government for reprocurement charges because the
terminated contractor was not party to that agreement
between the surety and the Government.
In
ECC CENTCOM Constructors, LLC , the ASBCA upheld a default
termination because: (i) based on controlling CAFC precedent,
the Board lacked jurisdiction to consider the contractor's
various claims of excusable delays that were not previously
submitted to the Contracting Officer as claims or mentioned by
the contractor in response to the Government's show cause
notice, even where the Government was aware of the issue; and
(ii) the Contracting Officer did not abuse his discretion by
failing to consider the factors in FAR 49.402-3(f) in deciding
to terminate because (a) that provision does not confer a right
on defaulted contractors, (b) such consideration would have
required a realistic schedule from the contractor that it never
provided, and (c) the Contracting Officer did consider the
factors to the extent the available information allowed him to.
In
Avant Assessment, LLC, a decision involving terminations for
convenience, the ASBCA held that: (i) it lacked jurisdiction
over theories of recovery for alleged additional work performed
by the contractor because those claims were not based on the
operative facts previously presented in claims to the
Contracting Officer; and (ii) the contractor's claim for certain
charges did not meet the requirement that they "result" from the
termination under FAR 52.212-4(l).
In
LKJ Crabbe Inc., the ASBCA upheld the termination for cause
of a custodial services contract because, inter alia:
(i) the contractor failed to provide reasonable assurances of
performance in response to the Government's cure notice; (ii)
the contractor's statements amounted to anticipatory repudiation
of the contract, (iii) the "Order of Precedence" clause resolved
a clear discrepancy in the contract documents regarding the
amount of cleaning required; and (iv) the contractor failed to prove
that Government knew or should have known of an alleged mistake in
its bid. The Board also rejected the contractor's arguments
regarding alleged (i) superior knowledge by the Government, (ii)
breach of the duty of good faith and fair dealing, and (iii)
unilateral mistake. Subsequently, the Board
denied the contractor's motion for reconsideration.
In
Ballistic Recovery Systems, Inc., the ASBCA granted
the Government's motion for summary judgment and denied an
appeal from a default termination because the contractor
admitted on appeal that its First Article samples were
nonconforming, and its earlier response to the
Government's Show Cause notice was inadequate.
In
First Division Design, LLC, which involved a contract terminated
for convenience after the Government realized it had
incorrectly accepted an offer to supply floor tiles made
in China, the ASBCA denied the contractor's T for C claim,
which was based largely on the alleged delay in
terminating the contract and the costs allegedly incurred
during extended negotiations prior to the termination,
because: (i) contrary to the contractor's contention, the
Government was not solely to blame for the flawed
award since the contractor had ignored the applicable
trade restrictions; (ii) many alleged procedural errors by
the Government in terminating the contract were irrelevant
because fault is not usually an element in convenience
terminations, and there was no evidence that any of the
Government's actions (a) amounted to bad faith or a breach
of any duty to cooperate or (b) constituted duress; and
(iii) the contractor's complaints about a DCAA audit were
irrelevant because the DCAA was only involved after the
appeal was filed.
In
Northrop Grumman Corp., the ASBCA denied the
Government's request for reconsideration of the Board's
prior quantum decision because the Board rejected the
Government's "novel, extraordinary, unique, and
unprecedented" theory that the contractor had incurred
Post-Retirement Benefit costs "by operation of law" when,
in fact, the contractor had underfunded the benefit plan
at issue and, thus, neither incurred the costs nor charged
them to its contracts with the Government, resulting in
the Government's inability to show any damages.
The ASBCA
denied the parties' cross motions for reconsideration of the
ASBCA's
earlier (2017) decision in
the appeal by Raytheon Co., which involved, inter alia,the assessment of penalties for unallowable lobbying costs
and government claims involving aircraft fractional lease costs.
In
Parsons Evergreene, LLC, a very lengthy opinion concerning a
plethora--too many to summarize here--of quantum and entitlement
issues on various claims concerning the "completion of design
and construction" phase of a contract with a non-appropriated
funds instrumentality (NAFI) to construct a temporary lodging
facility and visitors quarters at McGuire AFB, the ASBCA held,
inter alia, that: (i) the Government
(improperly) failed to alert appellant to possible mistakes in
its bid (which bid the Board finds reasonable); (ii) the
Government failed to challenge specific elements of the
contractor's claimed costs, which means its incurred costs are
deemed reasonable; (iii) the contractor was not entitled to
recover on its subcontractor "buyout" overrun claims because the
contractor had failed to lock in its subcontract prices in a
timely manner; and (iv) although the CAFC has explicitly
declined to address the continued viability of the so-called "NAFI
doctrine" as it applies to board appeals, the ASBCA concludes it
has CDA jurisdiction over this NAFI appeal and that, therefore,
the contractor is entitled to CDA interest on the amounts found
owing on its claims.
In
Kellogg Brown & Root Services, Inc., the ASBCA held
that the prime contractor's costs of settling of REAs for
delay submitted by its subcontractor were not allowable
costs under the prime contractor because, inter alia:
(i) they were not "reasonable," i.e., a prudent
prime contractor in the conduct of a competitive business
would not have incurred them since they were premised on
the Government's alleged delays in assigning the
subcontractor's trailers to protected convoys when the
Government had made its best efforts to do so and the
contract did not guarantee that the Government would do so
by any specific date; and (ii) the contractor allowed
subcontractor to base its REAs on rates and prices without
making any effort to analyze the subcontractor's "actual"
costs of the alleged delays. Subsequently, the
contractor's motion for reconsideration was
denied.
In
Energy Matter Conversion Corp., the ASBCA held that
the Government had properly imposed a penalty because the
costs at issue were expressly unallowable: specifically,
they were costs associated with investigations brought by
the Government for a violation of the law that resulted in
a disposition by compromise in proceedings that could have
led to debarment. FAR 31.205-47(a)-(b).
In
Northrop Grumman Corp., the ASBCA denied the
Government's request for reconsideration of the Board's
prior quantum decision because the Board rejected the
Government's "novel, extraordinary, unique, and
unprecedented" theory that the contractor had incurred
Post-Retirement Benefit costs "by operation of law" when,
in fact, the contractor had underfunded the benefit plan
at issue and, thus, neither incurred the costs nor charged
them to its contracts with the Government, resulting in
the Government's inability to show any damages.
In
Industrial Maintenance Services, Inc., a decision on
quantum following an
earlier decision on entitlement, the CBCA denied the
following elements of a claim for costs allegedly
associated with a change order that added and changed work
and extended the contract schedule by five days: (i) the
costs of a portable toilet (because these were not payable
as a direct cost under the contract); (ii) the costs of a
fork lift and fuel charges (because the contractor did not
establish these costs were directly related to, or
impacted by, the change order); (iii) additional charges
for overhead and profit (because the contractor failed to
present proof that such additional charges were incurred
or warranted under the provisions of a supplement (VAAR
852.236-88) to the Changes clause included in this
contract).
In
K&K Industries, Inc., the ASBCA awarded the contractor its
claimed costs associated with alleged construction contract
delays because the Government failed to produce contravening
evidence at the hearing of the appeal, relying instead on
unsubstantiated speculation:
Although the government challenges appellant's quantification of the costs
allocable to the . . . work in dispute, it has failed to present substantive,
persuasive evidence to rebut evidence and testimony introduced by appellant at trial.
No witnesses testified on the Corps' behalf at trial and there was little, if any,
cross-examination of appellant's witnesses. The Corps has provided no convincing
reasons why we should not take appellant's credible and substantively unrebutted
in-court evidence at face value for the most part and accord it controlling weight.
In
First Nationwide Holdings LLC, the PSBCA held that the
Debt Collection Act does not give the Board the authority
to order a delay in the Government's collection of offsets
pending the outcome of proceedings at the Board.
In
J.R. Mannes Government Services Corp., the CBCA denied the
contractor's motion to compel the deposition of a high-level
agency official who had no personal knowledge of the facts
involved in an appeal of allegedly improper terminations for
convenience because the contractor offered no reason why the
deposition was necessary beyond its desire to obtain a
"birds-eye view" of the agency's actions.
In
VXL Enterprises, LLC, the CBCA denied the contractor's
petition to require the Contracting Officer to issue a decision
on a certified claim within five business days of the date of
the petition because that period of time was too short to
provide the Government time to respond to, or the Board to
consider, the petition, especially absent a showing of any
exigent circumstance that would require action so quickly.
The CBCA
denied a motion by Yates-Desbuild Joint Venture: (i) to
vacate the Board's
prior decision on reconsideration and (ii) to have the issue
decided by the full Board.
In
Transworld Systems Inc., the CBCA ordered the Government to
file the Complaint on the Government's claim involving an
alleged overpayment to the contractor, but the Board's reasoning
wraps around the axle at least three times and lacks any clear
analysis that would guide future litigants in determining when
such orders will be appropriate.
The ASBCA dismissed an appeal by
Bellal Aziz Construction Co. for failure to prosecute
because the contractor did not respond to several orders from
the Board requiring the contractor to address the question of
whether it had submitted a timely claim certification to the
Contracting Officer. The ASBCA dismissed an appeal by
Courtney Ake for failure to prosecute after the
contractor failed to respond to multiple board orders to
reply to the Government's motion to dismiss for lack of
jurisdiction.
In
K.O.O. Construction, Inc., which involved an appeal of a
deemed denial of the claim, the CBCA permitted the contractor to
designate its original, detailed claim as the Complaint and will
allow the Government, if it chooses, to designate the
forthcoming Contracting Officer's decision on the claim as its
Answer.
In
Nimrah Construction Co., the ASBCA dismissed an appeal
for failure to prosecute after the contractor failed to
respond to the Government's motion to compel the
production of documents and to the Board's orders.
Similarly, in
Desert Fox Construction Co., the ASBCA dismissed the
appeal for failure to prosecute after the contractor
failed to respond to numerous orders from the Board.
In
NVS Technologies, Inc., the CBCA denied motions (a) to have the
Board amend (by way of clarification) a protective order
drafted by the litigating parties (but not issued by the
Board) and (b) to reprimand one of the parties for
violating the protective order, because it was not an
order by the Board.
The ASBCA dismissed an appeal by
Bonkers Girls Co. for failure to prosecute due to the
contractor's repeated failures to respond to the Board's
orders.
In
Woolery Timber Management Inc., the CBCA denied the
Government's motion to strike the contractor's motion for
summary relief as late because: (i) the contractor was not
represented by an attorney; (ii) the motion was only hours
late; (iii) the motion was the first late filing by the
contractor; and (iv) the Government was not prejudiced by
the late filing.
In
Collecto, Inc, dba EOS CCA and Transworld Systems Inc., the
CBCA: (i) denied (for the present) the Government's motion to
consolidate two appeals by different contractors even though the
contract language in dispute and many of the factual issues were
identical in the two appeals, but (ii) permitted some
coordination of discovery between the appeals for the sake of
judicial economy.
In
Rizzani de Eccher (U.S.A.), Inc., the ASBCA directed
the Contracting Officer to issue a decision on the
contractor's claim earlier than the projected date stated
by the Contracting Officer, after finding that date
represented an undue delay.
In
JBG/Federal Center, L.L.C., the CBCA held that the
contractor had the burden to prove the amounts it claimed
were improperly withheld by the Government from property
tax reimbursements, but the Government bore the burden of
proof for its demand for return of alleged overpayments.
In
The Boeing Co., the ASBCA denied the contractor's
motion to continue to suspend (or dismiss without
prejudice) 12 appeals long on the the Board's docket
pending resolution of other cases in federal court because
the contractor did not make the requisite showing to
satisfy the requirements of Board Rule 18. Subsequently,
the Board
denied the contractor's motion for reconsideration.
In
Trout Green Technologies, Inc., the ASBCA dismissed an
appeal for failure to prosecute after the contractor
repeatedly failed to comply with the Board's orders.
In
DRS Global Enterprise Solutions, Inc., the ASBCA denied the
contractor's motion for summary judgment seeking to dismiss the
Government's claims as barred by the six-year limitations period
because the contractor had failed to present adequate evidence
to support its assertions concerning the dates it contended the
the Government should have known of its claims.
In
McAllen Hospitals, LC, dba South Texas Health System, the
CBCA denied the Government's motion to exclude an evdentiary
exhibit added by the contractor to the appeal file because the
Government failed to identify (i) any prior discovery request in
response to which the document should have been produced or (ii)
any specific prejudice to the Government from its late
production.
In
Pro-Built Construction Firm, the ASBCA denied the
contractor's EAJA application because the Government's
position that the contractor's claimed costs were not
reasonable involved often close questions of fact and
determinations as to witness credibility, and the
Government had prevailed on a significant number of these
issues; thus, its position was substantially justified.
In a decision that seems to me to set the bar for an EAJA
recovery a bit too high, the CBCA denied the contractor's EAJA
application in
Belle Isle Investment Co. Limited Partnership because it
found that the Government's overall litigation position
regarding a disputed lease interpretation had a reasonable basis
in fact and law--even though the Board, in finding in favor of
the contractor on the merits of the original appeal, had
ultimately decided the disputed lease provision was not even
ambiguous.
In
Mare Solutions, Inc., the CBCA dismissed the
contractor's EAJA application (without prejudice) as
premature because it had been filed before the
Government's period for appealing the Board's original
decision had expired.
In
Richter Developments, LTD., the CBCA denied the
contractor's EAJA application in an appeal that had been
settled at the start of the hearing at the Board because
the agency's position (requiring the contractor
substantiate its initially poorly-supported costs) was
substantially justified.
In
ACI SCC, JV, et al., the court dismissed a
subcontractor's suit to collect an amount owed, but
unpaid, by the prime as moot because the ASBCA had already
dismissed the case (which involved the same allegations as
the current case) with prejudice almost two years earlier
and any remaining efforts to collect the judgment by the
subcontractor were state court issues, the court
reasoning, in part, as follows: "While [the subcontractor]
has been unable to collect [on] its . . . judgment, . . .
this unfortunate reality does not give [it] an unfettered
right to walk into any court it pleases to make further
attempts at recovering . . . . This case has been settled
for almost two years and [the subcontractor] has no right
to relitigate it."
In
CB&I AREVA MOX Services, LLC, a contract dispute involving
cross motions for relief, the court: (i) granted partial summary judgment in favor of the
plaintiff/contractor on an issue of contract interpretation,
finding that the contract entitled the contractor to retain
provisional incentive fee payments until its construction of a
Mixed Oxide Fuel Fabrication Facility for the DOE was completed;
(ii) denied the Government's motion for partial dismissal ("The
thrust of Defendant’s argument seems to be that Count III is
styled as a breach of contract claim rather than an equitable
adjustment claim, but this is a semantic distinction without a
substantive difference"); (iii) rejected the Government's
argument that the plaintiff had failed to comply with the 30-day
notice requirement of the "Changes" clause, which the court said
"might apply if any change orders existed here, but they do
not"; (iv) denied the Government's six-year limitations
argument because the plaintiff "could not have known of the
breach – and its claim did not accrue – until it knew or should
have known that the [Government] would not process a baseline
change to add fee to the contract [, and the Government] did not
even direct [the plaintiff] to start the rebaseline process
until January 2012"; and (iv) held that the plaintiff had the
immediate right to appeal an affirmative government claim included in the
Contracting Officer's decision.
In
Planate Management Group, LLC, the court
denied the Government's motion to dismiss parts of the suit for
lack of jurisdiction, holding that the factual allegations
underlying the counts in the Complaint for (a) breach of the
covenant of good faith and fair dealing and (b) cardinal
change had been included in the claim submitted to, and decided
by, the Contracting Officer, even though those two theories of
recovery had not been specifically mentioned in the original
claim.
In
Northrop Grumman Systems Corp., which involved
numerous motions by both parties to dismiss various claims
and counterclaims and for partial summary judgment on such
claims, the court held, inter alia, that: (i) the
contractor's claim for a cardinal change was not simply
one for contract interpretation, but rather sought breach
damages and, therefore, must be dismissed because the
contractor failed to specify a sum certain in its claim to
the Contracting Officer; (ii) the contractor's motion to
dismiss count one of the Government's counterclaims as
different from the claim described in the Contracting
Officer's final decision should be denied because "the
contracting officer’s decision and count one are based on
the same underlying theory–failure to perform on time;
they seek the same relief–damages for loss of the use of
the machines; and they rely on the same comparison between
the controlling schedule and the dates the machines were
installed"; (iii) the Postal Service's counterclaim for
the contractor's alleged failure to supply certain spare
parts was materially different from the counterclaim
described in the Contracting Officer's final decision
because the count before the court was based on a
materially different list of parts, quantities, and prices
from those listed in the final decision; and (iv) the
Postal Service's claim that the contractor repudiated its
obligation to provide life cycle support must be dismissed
because there was insufficient evidence for a finding of
repudiation.
In
Tyrone Allen d/b/a X3 Logistics, LLC, the court held:
(i) it lacked CDA jurisdiction over claims based on either
(a) a decision to disqualify a firm as an approved
provider under the DoD's Transport Service Provider
program or (b) commercial bills of lading; (ii)
plaintiff's non-CDA breach of contract claims were barred
by the six-year limitations period of the Tucker Act; and
(iii) claims based on an alleged breach of FAR 48 C.F.R. §
9.402(b) must be dismissed because that regulation and
others related to suspension and debarment are not
money-mandating.
In
C & L Group, LLC, and Makko Construction, LLC, the court
granted the Government's motion to dismiss for lack of
jurisdiction, holding that the allegations in the Complaint were
not sufficient to establish either an express or an
implied-in-fact contract between the plaintiffs and the
Government, in part because the contracts expressly stated the
United States was not a party (even though the Government had to
approve, and provide financing, for them), and there was no
meeting of the minds between the plaintiffs and the Government.
In
MW Builders, Inc. f/n/a MW Builders of Texas,
the court denied the plaintiff's motion to reconsider that
portion of the court's
prior decision finding the plaintiff's subcontractor had
waived its claims because the release was clear and
unconditional and the court does not have jurisdiction to reform
an agreement between a prime and a sub.
In
Walsh Construction Co., et al., the court rejected all the contractor's claims for: (i) breach of
the duty of good faith and fair dealing (because the plaintiff's
reading of the specifications was unreasonable, and the
Government's inspections were of a type to be expected in this
contract and were not excessive); and (ii) a Type I
differing site condition involving subsurface water (because the
contract did not provide an affirmative indication of the
subsurface water conditions, and the evidence established
that the actual site conditions should have been foreseeable to
the contractor).
In
CKY, Inc., a case involving a construction contract, the
court held that: (i) given all the information
made available to bidders prior to award, the contractor's
interpretation of the subgrade specifications was unreasonable;
(ii) the Government was prejudiced by the contractor's failure
to provide timely notice of its differing site conditions claim;
and (iii) the Government was entitled to summary judgment on its
counterclaim for liquidated damages for late completion. The
court was unimpressed with the contractor's prebid efforts to
understand the task at hand: "Plaintiff did not inquire about,
and apparently was unprepared for, the requirements of this
contract."
In
Peterson Industrial Depot, Inc., et al., which
involved the plaintiffs' allegations that Government had
breached an alleged duty to maintain rail lines, the court held,
inter alia, that: (i) the contract's general reference to
the need to comply with "all applicable laws" was not sufficient
to incorporate specific external regulations into the contract,
and, therefore, the plaintiffs' breach-of-contract claim could
not be based on those unincorporated regulations; and (ii) the
plaintiffs could not rely on an alleged breach of the implied
duty of good faith and fair dealing where the contract expressly
disclaimed the alleged duty on which the plaintiffs' claim
relied.
In
Philip Emiabata d/b/a Philema Brothers, the court upheld the Postal Service's default termination of a mail
delivery contract because the contractor had failed to provide
the proof of insurance and the official motor vehicle driving
record required by the contract and because the contractor had
provided erroneous information concerning a past reckless
driving conviction on its security clearance application form.
In
Vanquish Worldwide, LLC, which involved cross motions for
partial summary judgment as to various claims and counterclaims
related to contracts that had been terminated for default, the
court held, inter alia, that: (i) the Government had not
warranted the performance of the Afghan Public Protection Force
and, in any event, there was no evidence the contractor had
employed that entity on the defaulted contracts; and (ii)
the contractor was not liable on the Government's claim for lost
cargo because the Government had failed to comply with the
applicable Defense Transportation Regulation requirements
establishing time limits for notifying the contractor of missing
cargo items.
In
United States Enrichment Corp., the court held that:
(i) for purposes of calculating the segment-closing
adjustment for pension costs under CAS 413, the contractor
must use data from the earliest date for which it
has complete data regarding the Government's
contributions to the pension obligations for past and
present plan participants; (ii) post-retirement health and
welfare benefits (PRBs) mandated only until the expiration
of a collective bargaining agreement are not vested or
integral to the underlying pension plan, and, therefore
are not to be included in a segment closing adjustment,
except for special, continued PRBs guaranteed to certain
eligible retirees by the Privatization Act; and (iii) the
contractor was not entitled to additional PRB costs under
FAR cost principles because the Government's obligation
under these principles ended with the end of the contract.
In
Bechtel National, Inc., the court held
that the Government did not breach a contract for the operation
of a nuclear waste treatment plant by disallowing the contractor's
defense costs associated with suits by former employees of the
company for sexual and racial harassment and discrimination,
which were ultimately settled, even though the contract
contained a specific provision that obligated the Government to
reimburse the contractor for third party litigation costs, except those
which "are otherwise unallowable by law or the provisions of
this contract," that exception being triggered, in the court's
view, by the contract's "Equal Opportunity" clause, which
forbids the discrimination for which the contractor was sued.
In
United Launch Services, LLC, et al., the court denied the contractor's motion for summary judgment that
the Government had breached contracts for rocket launch services
by failing to honor agreements to pay for certain deferred
hardware production costs and deferred support costs. The
court held that (i) there were genuine issues of fact concerning
whether the accounting practices the contractor had used
initially in deferring the costs complied with applicable GAAP
principles, and (ii) if the accounting practices were not GAAP-compliant,
any subsequent agreement to pay for the deferred costs would be
unenforceable. Subsequently, the
court
denied the plaintiff's motion for leave to file an
interlocutory appeal of one aspect of the court's
prior decision, holding that the
following requirements were not present in this case:
"[T]o certify an interlocutory appeal of its Order, the
Court must find that the Order (1) 'involves a controlling
question of law,' (2) 'as to which there is substantial
ground for difference of opinion,' and (3) 'that an
immediate appeal may materially advance the ultimate
termination of the litigation'.”
In
The Hanover Insurance Co., et al., the court denied the defendant's motion to strike a portion
of the plaintiff's rebuttal expert's report because, even though
it was untimely (disclosed late to the defendant), the late
disclosure was substantially justified and harmless (the
contents of the report still could be addressed by the defendant
during depositions and the defendant also could file a motion to
submit a surrebuttal
In
DNC Parks & Resorts at Yosemite, Inc., the court denied the Government's requests for extensive discovery
from a third party concerning its valuation report, which was
already in the Government's possession and which would not be
utilized or relied upon by the plaintiff in the current
litigation.
In
LW Construction of Charleston, LLC, although acknowledging
that the Government had long known of the alleged issues, the Court of Federal
Claims permitted the Government to amend its answer years after
the original Complaint had been filed in order to add
affirmative defenses and counterclaims related to plaintiff's
alleged fraudulent representation of its eligibility as an
SDVOSB in obtaining and performing contract. The plaintiff had argued that the proposed amendments were tardy because:
The government’s motion was filed more than six (6) years after
the VA had determined [the plaintiff] was not an eligible
SDVOSB; more than four (4) years after the contracting officer
“reported” [the plaintiff] over concerns with its SDVOSB
certification; more than three (3) years after the DOJ declined
to intervene in [a] Qui Tam action [involving the same
allegations]; and almost exactly three (3) years since the
original Complaint in this case was filed.
In
BGT Holdings, LLC, the court denied the Government's
motion to dismiss several counts of the Complaint and
instead granted the plaintiff's motion to amend it,
basically because the court wanted to hear more of the
merits instead of dismissing the case based upon some
imprecise language in the original Complaint.
In
United Launch Services, LLC, et al., the court denied the plaintiff's motion for leave to file
an interlocutory appeal of one aspect of the court's
prior decision denying the plaintiff's motion for partial
summary judgment. The court held that the following requirements
were not present in this case: "[T]o certify an interlocutory
appeal of its Order, the Court must find that the Order (1)
'involves a controlling question of law,' (2) 'as to which there
is substantial ground for difference of opinion,' and (3) 'that
an immediate appeal may materially advance the ultimate
termination of the litigation'.”
In
Stromness MPO, LLC, the court denied the
plaintiff's EAJA application because the "defendant's position
throughout the entirety of the . . . case, although not 100
percent correct, was substantially justified."
In
Securiforce International
America, LLC, the CAFC: (i) affirmed the CoFC's prior
decisions (a)
upholding a partial termination for default and (b)
denying plaintiff's motions for discovery sanctions;
but (ii) vacated the portion of the lower court's
decision finding jurisdiction over plaintiff's request
for declaratory relief that a partial termination for
convenience had breached the contract (because the proper
remedy to have sought for that breach claim would have
been breach damages, not the equitable relief of a
declaratory judgment).
In
Agility Logistics Services Co. KSC, the CAFC: (i) affirmed the ASBCA's
prior decision that it lacked CDA jurisdiction over the
appeals because neither the underlying contract nor the task
orders at issue were made by an executive agency of the United
States and no subsequent action had made the Government a party
to either the contract or the task orders; and (ii) held that
the CAFC has no appellate jurisdiction over the ASBCA's other
determination that its Charter did not provide it with
jurisdiction over the appeals.
In
Meridian Engineering Co., an appeal
from two prior CoFC decisions (Meridian
1 and
Meridian 2), the CAFC
affirmed the CoFC's prior holdings that: (i) only the
contractor's breach-of-contract and
breach-of-good-faith-and-fair-dealing claims presented viable
causes of action; (ii) the contractor failed to establish the
necessary elements of a Type I Differing Site Conditions claim
(because the subsurface conditions of which it complained were
reasonably foreseeable); and (iii) the contractor's defective
specification claim was essentially the same as its differing
site conditions claim. The appellate court, however, reversed
the CoFC's prior findings that: (i) the contractor's flood
control event claim was barred by an accord and satisfaction
(because the CoFC had not considered all the evidence that might
have precluded such a finding); and (ii) the
Government was entitled to withhold payments for unsatisfactory
progress under FAR 52.232-5, barring the contractor's claim for
unpaid contract quantities (because (a) the cited clause only
applies to progress payments, (b) there was no proof of
unsatisfactory progress, and (c) there was no analysis of the
parties' conflicting calculations of the appropriate amount of
any set-off).
In
K-Con, Inc., the CAFC
affirmed a
prior ASBCA decision, holding that (i) the contractor had
failed to timely object prior to contracting to a patent
ambiguity in the solicitation concerning whether the contracts
now at issue were construction contracts; and (ii) bonds are
required in construction contracts and, therefore, were
incorporated in these construction contracts by operation of law
under the Christian doctrine.
In
Avant Assessment, LLC, the CAFC affirmed the ASBCA's decision rejecting the contractor's
appeal, specifically the Board's refusal to permit the
contractor to admit (or utilize in its post-hearing submissions)
voluminous, unauthenticated, tardily submitted documents
concerning allegedly improper rejections of contract items by
the Government, especially where the contractor made no effort
to identify specific improper rejections.
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or corrections, please
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