Volume 2 - Number 20 | May 17, 2004 - Construction Claims Advisor

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You are here: Home » Volume 2 - Number 20 | May 17, 2004

Volume 2 - Number 20 | May 17, 2004

EDITOR'S NOTES | Issue 2-20: We continue this week with Armed Services Board of Contract Appeals decisions released this past spring, including two cases with delay damages and one on total cost. In Tips and Techniques, attorney Jayne Czik reiterates the importance of contractors bidding on government work take steps to avoid potential conflicts.

BOARD AWARDS SOME CHANGES, DENIES DELAY DAMAGES: This case is based on a contracting officer’s denial of a subcontractor’s $517,000 pass-through claim, including the general contactor’s overhead and profit markup, for changes and delays on a NASA facility. The Board affirmed 19 of the contractor’s constructive change claims, denied 13 of them, and denied the contractor’s claim for delay damages.

9-DAY LATE NOTICE OF OPTION TRIGGERS TOTAL COST AWARD: In this case, the Board combined two appeals: one from a final decision denying a claim for failure to provide a timely performance notice of the second option year (the third year of performance), and one from a final decision denying a quantum claim for a loss of $260,000 during the second and third years of the contract. The Board sustained the contractor’s appeal on the quantum claim, and remanded the case to the parties for a determination of the profit.

THE CONSTRUCTION LAWYER - SPRING 2004: From time-to-time, the Digest section provides highlights of other construction law publications. This issue looks at articles from The Construction Lawyer, the journal of the Forum on the Construction Industry section of the American Bar Association.