General Atomics Aeronautical Systems, Inc.

Material Facts

• General Atomics is party to multiple contracts with the government subject to the Federal Acquisition Regulation (FAR) cost principles and the CAS.
• The government determined that General Atomics had not complied with CAS provisions starting January 1, 2007.
• The DACO concluded that General Atomics should have included related party lease amounts exceeding costs of ownership in its G&A base.
• The government paid $41,658,000 in increased costs due to General Atomics' CAS noncompliance.
• General Atomics appealed the DACO's final decision demanding the return of $46,716,711.

Parties

Appellant

General Atomics Aeronautical Systems, Inc.

Respondent Agency

Defense Contract Management Agency

Contract Number

Contract No. FA8620-10-G-3038 et al.