6044860785

Raytheon Company

April 9, 2018Judge Scott
Denied / Government PrevailedOther

Raytheon Company appealed the contracting officer's denial of claims for additional Systems Engineering and Program Management services under a firm-fixed-price Lot 27 contract. The Board held that the government could assert an unclean-hands affirmative defense without first submitting that defense to the contracting officer and granted the government's motion to amend its answer, while allowing Raytheon additional discovery and record submissions.

Material Facts

  • The Lot 27 contract was a firm-fixed-price contract for missiles, telemetry units, other deliverables, and SEPM services.
  • Raytheon appealed the contracting officer's denial of claims for extra and additional SEPM services.
  • The government moved to amend its answer approximately two months before the scheduled hearing.
  • The proposed affirmative defense alleged that Raytheon participated in unfunded contract actions and that its claims were barred under the unclean-hands doctrine.
  • Raytheon asserted that Air Force personnel had consistently claimed that the Lot 27 contract was fully funded.
  • Raytheon asserted that it would need discovery, complex funding and budget inquiries, and expert evidence to address the proposed defense.
  • The government stated that recent depositions of Raytheon personnel had revealed an undisclosed pre-award plan concerning future appropriated funds.
  • The Board did not extend the hearing commencement date but permitted further discovery and record submissions.

Parties

Appellant
Raytheon Company
Respondent Agency
Air Force
Contracting Agency
Air Force
Contract Number
FA8675-13-C-0003
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