Sunday, February 28, 2021

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Tecom Correct Standard for Determining Allowability of Retaliation Litigation Costs; CAFC 2018-2055, Bechtel National...

Appeal of the COFC’s decision denying a claim seeking reimbursement of the contractor’s costs defending itself from a sexual harassment and retaliation lawsuit is denied, where the contract expressly barred such discrimination and where neither the costs related to an adverse judgment or settlement were allowable. The court held that the standard established in Geren […]
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Appellant Ignored CO’s Suggestion to Convert Invoices to Certified Claim; ASBCA No. 61234, Appeal...

Appeal of the agency’s refusal to pay invoices seeking additional compensation under a contract for leased armored vehicles is dismissed, where the appellant asked the agency to consider the invoices an REA but never converted the request into a certified claim seeking a final decision, despite given an opening by the CO to do so. […]
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Contractor’s Execution of a Promissory Note to Settle Government’s Claim Did Not Moot Appeal...

The Armed Services Board of Contract Appeals held that a contractor did not moot its appeal of a government claim by executing a promissory note to pay the claim. Nevertheless, the contractor’s appeal of the government’s claim to recover indirect costs is denied where the contractor and the government entered a valid bilateral agreement to […]
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Federal Circuit Clarifies When Affirmative Defenses Must Be Submitted as Claims, and When Interest...

On July 9, 2019, the Federal Circuit issued a decision in Army v. KBR, which although nonprecedential, further clarifies when an affirmative defense constitutes a CDA claim that – for jurisdictional purposes – requires a prior Contracting Officer’s Final Decision. As background, the Army withheld $44M in allegedly unallowable security costs from KBR’s invoices. KBR submitted […]
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Federal Circuit Affirms ASBCA Decision Finding Army Breached Agreement to Provide Security to Contractors...

The government’s appeal of ASBCA’s decision granting KBR’s breach of contract claim is denied, where the board properly concluded it had jurisdiction to hear KBR’s affirmative defense of breach of contract against the government’s claim for unallowable costs related to private security services in Iraq. The court explained that an affirmative defense does not have […]
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