6122061347

Skanska USA Civil Southeast, Inc.

April 3, 2025Judge Arnett
Denied / Government PrevailedDefective SpecificationsDiffering Site ConditionsContract Changes / Constructive Changes

Skanska USA Civil Southeast, Inc. sought compensation for additional costs under a firm fixed-price contract with the Navy, claiming defective specifications and differing site conditions. The ASBCA denied the appeals, finding Skanska should have anticipated the conditions.

Material Facts

  • The contract was a firm fixed-price design-bid-build project for the demolition of Piers 4 and 5 and construction of a new pier at the Norfolk Naval Shipyard.
  • Skanska claimed additional costs due to the removal of interior timber bearing piles not treated with creosote.
  • The Navy's solicitation instructed bidders to assume the timber piles were creosote-treated.
  • Skanska argued that the lack of creosote treatment constituted a differing site condition or defective specification.
  • The Navy awarded the contract to Skanska on September 29, 2010, for $164,321,000.
  • The contract required Skanska to completely extract and demolish all timber piles.

Parties

Appellant
Skanska USA Civil Southeast, Inc.
Respondent Agency
Department of the Navy
Contract Number
N40085-10-C-3006
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