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No "Total Cost' Method On Uncomplicated Project Claims Administration; Overhead

Monday, May 03, 2004 01:00 pm

No "Total Cost' Method On Uncomplicated Project Claims Administration; Overhead

The Armed Services Board of Contract Appeals has ruled that a contractor could not use the "total cost' method to quantify a claim on a project that was "not complicated.' And the Board denied Eichleay damages because the government had not required immediate resumption of work after a suspension.

The Navy awarded a fixed-price contract to TPS, Inc. for structural repairs and roof replacement on nine buildings at the Key West Naval Air Station in Florida. After TPS had started work on one building, the government suspended work on seven and one-half of the buildings. The government said it anticipated the suspension would last two months, but the s [...]

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