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Volume 5 - Number 13 | March 26, 2007

EDITOR'S NOTES
When it comes to bid outcomes, there’s a vast difference between a bid rejected for non-responsibility and one rejected because of contractor debarment. A ruling of non-responsibility pertains to just the bid in question. A ruling of debarment involves a set period of time in which a contractor is ineligible to bid on government contracts.

In this week’s first case, a contractor argued that a state agency rejected its bids on three contracts in an effort to “blacklist [the contractor] for all future contracts and ‘put it out of business.’” Neither an administrative law judge nor a California appellate court accepted this argument. Both ruled that the agency provided sufficient proof to establish non-responsibility—debarment never entered into the equation.

The second case involves a game of pass the buck. Because of claims provisions in a prime contract, a subcontractor cannot go after the contractor for claim remedies for delays until the contractor has the opportunity to pursue action against the project owner for the same issue.

Finally, Warner expert Svetlana Lyasko provides an inside look at a proprietary process that the consulting firm employs to assemble data for schedule analysis.


MULTIPLE NON-RESPONSIBILITY DETERMINATIONS WERE NOT DEBARMENT
A determination of non-responsibility against a bidder on three contracts does not automatically constitute a debarment. Non-responsibility is determined on a contract-by-contract basis, unlike debarment, which is a sanction for a specific period of time.

SUB BOUND BY PRIME CONTRACTOR’S CLAIM REMEDIES
A prime contractor has the right to pursue claim remedies against an owner for alleged delays before its subcontractor can pursue litigation against the contractor for the same issues, says a North Carolina court. If the dispute resolution mechanism in the prime contract is incorporated into the subcontract, the subcontractor must abide by the prevailing contract.

BEST PRACTICES IN AS-BUILT SCHEDULE DEVELOPMENT
By Svetlana Lyasko
When it comes to schedule analysis, the as-built schedule serves as the foundation for that analysis. Warner Construction Consultants has developed a process to compile information from multiple sources into one database to facilitate easier comparisons when delay analysis becomes necessary.