Engineering Solutions & Products, LLC

Material Facts

• ESP leased a warehouse from First Potomac Realty Trust to support the Army Program Executive Office Soldier.
• ESP held a prime contract to provide warehouse space for government use issued by the Department of the Treasury.
• The Army indicated interest in leasing more warehouse space, prompting ESP to negotiate an expansion of the warehouse.
• ESP entered into a ten-year lease with FPRT with front-loaded rent and an early termination fee.
• The Army vacated the warehouse in March 2012, approximately five years into ESP's ten-year lease.
• ESP contended there was an implied-in-fact contract requiring the Army to pay the early termination fee and other costs totaling roughly $4.2 million.
• ESP's claim was denied by the Army's contracting officer, leading to the appeal.

Parties

Appellant

Engineering Solutions & Products, LLC

Respondent Agency

Department of the Army

Contracting Agency

Department of the Treasury

Contract Number

000000-00-0-0000