62592

Gulf Extreme Engineering & Construction

October 30, 2023Judge Smith
Denied / Government PrevailedTermination for Default

Gulf Extreme Engineering & Construction challenged the U.S. Army Corps of Engineers' termination of its construction contract for default due to failure to diligently prosecute the work. The Board denied the appeal, affirming the government's justification for termination.

Material Facts

  • GEEC was awarded a $7,985,000 design-build contract on April 6, 2016.
  • The contract was grouped into eight CLINs for construction of electric power transmission infrastructure.
  • The government issued a notice to proceed on June 10, 2016, establishing a completion date 707 days later.
  • GEEC's design submittals were all late, and by May 22, 2017, GEEC had earned just 25% of the contract value.
  • The government requested a realistic recovery schedule from GEEC, which was not provided.
  • The government terminated GEEC's contract on April 1, 2020, for failure to diligently prosecute the work.

Parties

Appellant
Gulf Extreme Engineering & Construction
Respondent Agency
U.S. Army Corps of Engineers
Contract Number
W5J9JE-16-C-0003
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