09:30
Faizan
The staggering statistic of cases filed at the Court of Federal Claims (COFC) should make contractors aware that the government does in fact deny claims that include terminations for convenience. The process is not as easy as most contractors may think. By the time they reach the appeals stage, the damage is substantially done. An appeals attorney can only try to salvage the situation and recoupe and much damages as possible.
U.S. Court of Federal Claims (COFC)Judgments and Appeals for the 12-Month Period Ending September 30, 2011
Number of cases terminated 609
Judgment Amounts Amount in Dollars
Amount claimed in fiscal year 2011 filings 122,302,466,000
Amount awarded in judgments for plaintiffs/petitioners 1 471,077,558
Amount awarded in judgments for plaintiffs carrying interest 16,280,213
Amount awarded in judgments for defendants on counterclaims or offsets 5,732,690
Amount awarded in judgments for defendants on counterclaims or offsets carrying interest 87,879
Amount awarded in judgments for third-party plaintiffs/petitioners 0
Appeals pending October 1, 2010 302
Appeals filed October 1, 2010, to September 30, 2011 120
Appeals terminated October 1, 2010, to September 30, 2011 138
Decisions
Affirmed 76
Reversed (including those reversed in part) 11
Dismissed 47
Vacated 4
The following information should make government contractors aware of the dangers facing a termination for convenience.
First, government contractors must understand that in a termination for convenience, they bear the burden of proof to demonstrate compensable damages resulting from the termination. Jacobs Engg Grp., Inc. v. United States, 75 Fed. Cl. 752, 759 (2007). The scope of damages that contractors can recover following the Government termination for convenience is covered by the contract and the FAR terms incorporated therein. This means that:
U.S. Court of Federal Claims (COFC)Judgments and Appeals for the 12-Month Period Ending September 30, 2011
Number of cases terminated 609
Judgment Amounts Amount in Dollars
Amount claimed in fiscal year 2011 filings 122,302,466,000
Amount awarded in judgments for plaintiffs/petitioners 1 471,077,558
Amount awarded in judgments for plaintiffs carrying interest 16,280,213
Amount awarded in judgments for defendants on counterclaims or offsets 5,732,690
Amount awarded in judgments for defendants on counterclaims or offsets carrying interest 87,879
Amount awarded in judgments for third-party plaintiffs/petitioners 0
Appeals pending October 1, 2010 302
Appeals filed October 1, 2010, to September 30, 2011 120
Appeals terminated October 1, 2010, to September 30, 2011 138
Decisions
Affirmed 76
Reversed (including those reversed in part) 11
Dismissed 47
Vacated 4
The following information should make government contractors aware of the dangers facing a termination for convenience.
First, government contractors must understand that in a termination for convenience, they bear the burden of proof to demonstrate compensable damages resulting from the termination. Jacobs Engg Grp., Inc. v. United States, 75 Fed. Cl. 752, 759 (2007). The scope of damages that contractors can recover following the Government termination for convenience is covered by the contract and the FAR terms incorporated therein. This means that:
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