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Can an Appeal Serve as a Claim?

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The contractor filed a complaint with the ASBCA seeking unpaid rent for a lease and for damages to the property. The contractor, however, had not filed a claim with the contracting officer before filing the appeal. It appeared the contractor was relying on the appeal to serve as its claim. The board found that without an underlying claim, it lacked jurisdiction over the appeal.

Appeals of DiNapoli-Warren, LLC, ASBCA Nos. 63143, 63144

Background

DiNapoli-Warren LLC leased property to the Defense Logistics Agency (DLA). The lease expired in March 2014, but DLA occupied the premises until December 2015. DiNapoli filed a complaint with the ASBCA seeking rent for the period DLA occupied the premises after termination of the lease. DiNapoli also sought over $20 million for damage to the buildings.

DLA moved to dismiss the appeals for lack of jurisdiction. DLA argued that DiNapoli had not submitted a claim for either of its theories. Rather, it had simply filed a complaint directly with the ASBCA. DiNapoli never responded to the motion. 

Analysis

A valid claim is a prerequisite for an appeal. Where there is no claim, there is no decision from which to appeal. In this case, in its complaint, DiNapoli did not identify a claim or a contracting officer’s final decision giving rise to the appeal. In fact, it appeared to the board that the DiNapoli was intending for its complaint on appeal to serve as its claim. The board found it lacked jurisdiction over the appeals.

DiNapoli is represented by John I. Bolton of Innovative Counsel Group. The government is represented by Daniel K. Poling, Lieutenant Colonel Grant T. Wahlquist and Bernal Rodriguez of the Defense Logistics Agency.

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