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An appeal to the BCA must be in writing, express dissatisfaction with the final decision, manifest intent to appeal the final decision, and be sent to the contracting officer and the BCA. Aspen Consulting does not spell the end of apparent authority in government contracting. Read more information about filing a contract claim against the government. If, as often happens, the contracting officer agrees to issue a change order, both sides are spared from the formal dispute resolution process. 236-2, Suspension of Work, FAR 52. Under the Contract Disputes Act (CDA), 41 U. S. C. §§ 7101-7109, there is a 90-day filing requirement for filing an appeal with an agency board of contract appeals. In that case the Board had some reservation as to the date of emailing the 90-day notification to DLA. Can a contractor submit a claim by email for a. Whether you are entitled to the amount for your contract claim can be irrelevant when the government contracting agency seeks a dismissal from the Board of your appeals for lack of jurisdiction. How to Make a Claim under the CDA? Aspen's owners soon advised the contracting officer that its vice-president was not authorized to make a change in the payment instructions. When Can a CDA Claim Be Asserted? Nevertheless, an REA is commonly understood to be a request for compensation (time, money, or both) that falls short of a claim in terms of its procedural requirements. However, a written demand or written assertion by the contractor seeking the payment of money exceeding $100, 000 is not a claim under the Contract Disputes Act of 1978 until certified as required by the Act. "
206 - Initiation of a claim. The claimant must also comply with the size standards set forth in the Act. But what about the apparent authority of contractor representatives? Failing to meet this deadline can also have a grave impact to thousands or even millions of dollars of contractual claims.
The email notification was a critical issue in the case of USAC Aerospace Group, Inc. dba USAC Aerospace Group: Aerostructures, ASBCA Nos. The 6-year period shall not apply to contracts awarded prior to October 1, 1995, or to a Government claim based on a contractor claim involving fraud. Most liquidating agreements limit the prime contractor's liability to the amount the government agrees to pay or is required to pay. Who Can Assert a Claim under the CDA? A prime contractor may only sponsor a claim on behalf of a subcontractor if the prime contractor has paid the subcontractor's claim or, more commonly, the prime contractor otherwise remains potentially liable to the subcontractor pursuant to a claims cooperation or liquidating agreement. The Board of Contract Appeals cannot waive the Contract Disputes Act requirements or any other mandate under the statute. It should be noted, however, that in cases where there is doubt, there is no harm in starting out with an REA. Generally, a final decision by the contracting officer is a prerequisite to the government's assertion of any claim or counterclaim against a contractor. If the contracting officer fails to issue a final decision within a reasonable time, such failure may constitute a deemed denial, and the contractor may proceed with an appeal to the appropriate BCA or the Court of Federal Claims. The Contract Disputes Act: What Every Federal Government Contractor Should Know. There should be no question as to what the document is and what you are asking for. Fourth, the claim must be submitted within the six year statute of limitations. By: Michael H. Payne.
00, a contractor must certify that (i) the claim is being asserted in good faith, (ii) the supporting data is accurate and complete to the best of the contractor's knowledge, (iii) the amount requested is accurate, and (iv) the person asserting the claim is duly authorized to certify the claim. Can A Construction Contractor Email Notice of a Claim? Maybe! | Burr & Forman - JDSupra. The CBCA hears disputes from all other executive agencies except the United States Postal Service (USPS), the Postal Rate Commission, and the Tennessee Valley Authority. Since contractors do not always comply with the method of notice of a claim outlined in the Miller Act, actual notice may provide a safety net to those contractors who do not strictly comply with statutory or contractual requirements. A contractor's assertion for payment "approximately" or "in excess of" an amount will not constitute a claim under the CDA.
00, the contracting officer may issue a final decision within sixty (60) days or provide to the contractor a firm date within a "reasonable time" by which the contracting officer will issue a final decision. 101 as "a written demand or written assertion by one of the contracting parties seeking, as a matter of right, the payment of money in a sum certain, the adjustment or interpretation of contract terms, or other relief arising under or relating to the contract. Considering the time and resources required for an appeal of both a termination for default or a government claim for reprocurement costs or addressing a proposed suspension or debarment, it may be wiser to negotiate with an agency in advance to terminate the contract for convenience rather than default, which is less damaging to a contractor's reputation and future business dealings with the government. The Equal Access to Justice Act allows some individuals and small businesses to recover attorneys' fees up to $125 per hour if it is determined that the claimant is the prevailing party and the government's position was not substantially justified. How to email a contractor. Since the CCR file had not been changed, there had been no change in the account designated for payment. 243-1, and Termination for Convenience, FAR 52.
What Types of Claims Are NOT Subject to the CDA? Aspen Consulting won a contract to outfit Army health and dental clinics at Rose Barracks in Vilseck, Germany. Although the Miller Act specifies methods for giving notice, the court focused on whether the prime contractor had received actual notice. Can a contractor submit a claim by email. Under the circumstances, the Board concluded that it was reasonable to honor the vice-president's email request.
A contractor is not required to submit its claim under the CDA in a particular format. They include clear language and explanations to show why the government should pay the claim. On the other hand, if there is animosity, or a clear indication in prior discussions and correspondence, that the government does not believe that the contractor is entitled to an equitable adjustment, it is best to file a claim. The contract claims that do get paid, however, go a little further. As is discussed below, once a CDA claim is made, the contracting officer is obligated to issue a final decision that, if unfavorable, must be appealed within ninety (90) days to a BCA or one year to the Court of Federal Claims. The Limits of Apparent Authority in Government Contracting | Limits of Apparent Authority in Government Contracting. Companies should not take this process lightly. The CDA governs post-award monetary claims, such as breach of contract, non-monetary claims, such as a claim for time or interpretation issues regarding a specification, and claims arising out of an implied-in-fact contract between the federal government and a contractor. Having a fax certification notice of sending the appeal notice could be more persuasive to the Board of Contract Appeals. 00 must be certified by the contractor. Frequently, deemed denial appeals result in an order directing the contracting officer to issue a final decision. Once a contractor submits a claim to a contracting officer meeting all of the criteria of a CDA claim, the contracting officer must issue a final decision on the claim. A contractor may appeal the entirety of the contracting officer's final decision or some portion thereof.
For claims exceeding $100, 000. Notably, the government may have the burden of proof at the COFC or BCA, depending on the nature of the claim. The payment bond claimant was a sub-subcontractor who filed a claim because the subcontractor failed to make timely payment. When a contractor appeals a CDA claim to the COFC or a BCA, sometimes an agency will determine whether it has the ability to present a government counterclaim under the False Claims Act (FCA) for false statements made by the contractor in its claim, in its billing, or some other representation to the government. Rather than start the running of this clock, a contractor may ask for a change order or submit an uncertified request for an equitable adjustment or REA. 207(c) when the claim amount exceeds $100, 000, and it must be submitted to the Contracting Officer in a manner that clearly provides the factual, technical, and legal basis for an equitable adjustment to the contract. Below, we discuss 5 key ways a government contractor can be subject to a government claim and best practices to reduce your risks.