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March 1, 2004

SPLICED RAILS CANNOT BE SUBSTITUTED FOR UNSPLICED RAILS

Armed Services Board of Contract Appeals

In this case, the Armed Services Board of Contract Appeals (“ASBCA”) combined two appeals (arising from the same contract) and issued a single decision denying both appeals. In the first case, “the Splicing Issue,” Valenzuela Engineering, Inc. (“Valenzuela”) appealed from the contracting officer’s deemed denial of a claim for an equitable adjustment of over $70,000 and 52 days. In the second case, “Liquidated Damages,” Valenzuela appealed from the contracting officer’s demand for $184,000.00 in liquidated damages.

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