5404554528

Southern Defense Systems, Inc.

February 16, 2012Judge Page
Denied / Government PrevailedContract InterpretationAccord & Satisfaction / Release / WaiverDCAA InvolvedSmall Business

Southern Defense Systems, Inc. appealed two decisions regarding the pass-through rate on a delivery order under a government contract. The Board denied the appeals, finding no entitlement to the claimed rate.

Material Facts

  • The government and SDS entered into Contract No. F33657-96-D-2018 for aircraft support equipment.
  • SDS sought to recover a 20% pass-through rate on purchases made under Delivery Order No. 20 instead of the 6.4% rate agreed to.
  • SDS alleged that the lower rate resulted from a mistake and charged the government with bad faith and coercion.
  • The Board found that the contract allowed for modification of the pass-through rate.
  • SDS's claims of coercion and bad faith were not substantiated by evidence.

Parties

Appellant
Southern Defense Systems, Inc.
Respondent Agency
Department of the Air Force
Contracting Agency
Aeronautical Systems Center
Contract Number
F33657-96-D-2018
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