Laguna Construction Company, Inc.
Laguna Construction Company, Inc. appealed a decision regarding its claim for payment under a government contract, which was denied based on allegations of fraud involving kickbacks. The Board granted the government's cross-motion for summary judgment, concluding that Laguna materially breached the contract.
Material Facts
- The Air Force Center for Environmental Excellence awarded Contract No. FA8903-04-D-8690 to Laguna Construction Company, Inc. in November 2003.
- Laguna received 16 cost-reimbursable task orders from the government to perform work in Iraq.
- The government rejected 14 invoices submitted by Laguna based on findings from a Defense Contract Audit Agency audit.
- Laguna's project manager and vice president for operations pled guilty to taking kickbacks, which inflated the company's billings to the government.
- The Board found that Laguna's breaches were material and excused the government from paying the invoices.
Parties
- Appellant
- Laguna Construction Company, Inc.
- Contract Number
- FA8903-04-D-8690
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