Justia Contracts Opinion Summaries

Articles Posted in U.S. Court of Appeals for the Federal Circuit
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GA entered into a blanket purchase agreement (BPA 218), with the Department of Veterans Affairs (VA) in June 2011, to furnish trained service dogs for disabled veterans. A year later, the contracting officer sent an email questioning GA's performance. On August 31, 2012, the officer sent notice terminating BPA 218 for default and suspending open orders, informing GA that it had the right to appeal under the disputes clause of the contract. On December 21, 2012, GA sent a letter to the VA’s Rehabilitation Research & Development Service, arguing that it had fulfilled its duties and that the default termination should be converted to a termination for the convenience of the government. On February 28, 2013, GA sent the contracting officer a “formal demand.” On March 21, the officer sent a letter stating that she had received the claim but needed supporting documentation. GA began compiling documentation, but on May 3, the officer sent another letter, stating that she would not reconsider her decision, but that GA could appeal under 41 U.S.C. 7104(b). On January 7, 2014, GA filed suit. The Court of Federal Claims dismissed, finding the claim time-barred because, while the February 2013 letter qualified as a request for reconsideration, the officer did not reconsider, so the statute of limitations never tolled. The Federal Circuit reversed. The 12-month statutory appeal period did not begin to run until the officer rejected the request for reconsideration on May 3. View "Guardian Angels Med. Serv. Dogs, Inc. v. United States" on Justia Law

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Reddick was employed as an FDIC “Investigation Specialist” by an initial two-year term appointment, set to expire in September 2012. In April 2012, the FDIC offered him an extension of the initial term for an additional two years. The offer stated that the “extended employment” would be “effective [September], 2012” and that the “extended appointment is subject to the conditions of employment [included in the initial appointment offer] and subject to your continued successful performance.” Reddick accepted the offer days after receipt. The FDIC revoked the extension offer in August 2012. Reddick filed a grievance on the theory that the revocation of the offer was an adverse action under 5 U.S.C. 7512 and that he was entitled to procedural protections that the FDIC did not provide him. The matter was referred to arbitration under the terms of a collective bargaining agreement. The arbitrator found the extension offer to be conditioned on Reddick’s “satisfactory work performance” and that the revocation was supported by sufficient justification. The Federal Circuit dismissed an appeal. The extension offer was still revocable by the FDIC even after acceptance by Reddick; it never matured into an effective extension, so Reddick was not “removed.” View "Reddick v. Fed. Deposit Ins. Corp." on Justia Law

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Normandy Apartments, Ltd. owned and managed a low-income rental housing project where tenants’ rents were federally subsidized under the Section 8 project-based program. In 2004, Normandy and the United States Department of Housing and Urban Development (HUD) entered into a contract (the HAP contract) wherein HUD agreed to pay rental housing assistance to Normandy. Normandy and HUD renewed the contract annually until 2004. The named parties and signatories of the 2004 HAP contract were the Oklahoma Housing Finance Authority and Normandy. In 2007, HUD notified Normandy that its assistance payments would be terminated because Normandy defaulted on the HAP contract by repeatedly failing to maintain the apartments. In 2010, Normandy filed suit against the government in the United States Court of Federal Claims asserting a breach of the 2004 HAP Contract and requesting damages. The Claims Court dismissed the case for lack of subject matter jurisdiction. Normandy then filed an amended complaint asserting a takings claim against the government. The Claims Court granted summary judgment in favor of the government. The Federal Circuit affirmed, holding (1) the Claims Court correctly dismissed Normandy’s breach of contract claim for lack of jurisdiction because the United States was not a party to the 2004 HAP contract; and (2) HUD’s conduct did not constitute a regulatory taking. View "Normandy Apartments, Ltd. v. United States" on Justia Law