Breach of Duty Good Faith and Fair Dealings Standard In a recent decision, Metcalf Construction Company v. United States, the Federal Circuit appeared to relax the standard needed to find a breach of the expressed covenants of good faith and fair dealing with government contracts. Government contractors seeking to litigate… Read more »
Security facility clearance compliance decisions and internal practices are important aspects of being able to perform government contracts. When companies are facing judicial scrutiny or adverse legal actions, it is important to understand the laws and regulations that regulate facility clearances and individuals complying with those laws. As a government… Read more »
A common problem under the Contract Disputes Act of 1978 (CDA) when the subcontractor engages in a subcontract with the General Contractor seeking pass through rights in the event of a claim against the federal government. Understanding the various levels of disputes is critical to how subcontractors should proceed. Subcontractor… Read more »
There are subtle differences between the government contract termination for convenience vs termination for default clause in federal government contracts decisions. Contractors who incorrectly respond to termination by default or cause quickly find the painful and subtle differences, especially at the appeals stage. The same is true when the… Read more »
Under what authority can the contracting officer terminate a contract for default or cause? When assessing costs associated with the Termination for Default Clause, you must first understand the government’s rights. Under government contracts law, if your contract contains the Default clause at 52.249-8, the Government has the right, subject to… Read more »
A Unilateral contract is vastly different from a bilateral contract. The elements of a contract are previously discussed in our Contracts article. There are two main types of contracts: bilateral and unilateral. A Promise for Performance. By comparing the difference between Bilateral and Unilateral Agreements, a bilateral contract constitutes a… Read more »
Pleading the proper affirmative breach of contract defenses are important when another party files a case but you actually have a legal reason for not completing the contract. In contract litigation, there are certain affirmative breach of contract remedies you can assert at trial. By proving viable contract defenses to the required… Read more »
Drafting a contract termination letter starts with the basis for the termination and making sure that the underlying reason for the letter does not breach the contract. This section deals primarily with when you receive a contract termination letter from the federal government. This can be for a termination for… Read more »
Define Breach Potential Before Filing a Lawsuit As a party to a contract, you generally would not get to the issue of remedies unless you first define whether there is a breach. Meeting the definition of breach of contract occurs when one of the parties fail to act or perform according to… Read more »
As CEO of the company, receiving the government’s contract termination letter is one of the sudden blows that you do not usually dream of seeing. Your anticipated profits and the future of your business are at risk. Whether the agency terminates for cause or convenience, developing an immediate response is critical…. Read more »