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Financial Data Not Consistent With Eichleay Formula Delay-damages; Overhead

Saturday, December 03, 2005 04:41 pm

Financial Data Not Consistent With Eichleay Formula Delay-damages; Overhead

The U.S. Court of Federal Claims has ruled that while a contractor had established entitlement to unabsorbed home office overhead, the contractor's financial data did not comport with the proper use of the Eichleay formula.

The Navy awarded a contract to Orlosky, Inc. to replace high voltage circuit breakers and to perform a coordination study of the electrical system at a weapons center on San Nicholas Island off the coast of California. The contract called for completion in 200 calendar days.

Orlosky experienced a series of government-caused delays involving lack of power out [...]

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