Raytheon Company

Material Facts

• The Army awarded Raytheon a contract for Improved Thermal Sight Systems to be furnished for light armored vehicles.
• The contract included FAR 52.246-2, INSPECTION OF SUPPLIES—FIXED PRICE, and a Product Quality Deficiency Report clause instead of the proposed warranty.
• The original schedule required delivery of 300 sights between February 28, 2012 and April 30, 2013.
• The parties modified the contract to establish expedited delivery of 146 sights, including 15 due by August 31, 2012.
• Raytheon delivered the 15 expedited sights between July 20 and 30, 2012.
• The contracting officer acknowledged delivery of the 15 expedited sights and Raytheon's entitlement to the incentive fee.
• The government inspected and accepted the last sights required by the contract on July 10, 2013.
• After acceptance, Raytheon performed Product Quality Deficiency Report analyses for the government.
• Raytheon repeatedly offered software updates or spare parts as consideration for schedule extensions.
• General Dynamics issued 73 Product Quality Deficiency Reports to the government between February 25, 2012 and October 13, 2015.
• The contracting officer who issued the final decision had been assigned to the matter only since February 2018 and did not represent that she had first-hand knowledge of when the sights were delivered.
• The government did not identify evidence showing that it communicated a revocation of acceptance to Raytheon.

Parties

Appellant

Raytheon Company

Respondent Agency

United States Army

Contracting Agency

Army

Contract Number

W56HZV-11-C-0130