Globe Trailer Manufacturing, Inc.

January 28, 2021Judge D'Alessandris

Denied / Government PrevailedContract Changes / Constructive ChangesCDA JurisdictionDCMA InvolvedCommercial Item

Globe Trailer Manufacturing, Inc. appealed a deemed denial of its claim for constructive changes to a contract terminated for convenience. The Board denied the government's motion to dismiss for lack of subject matter jurisdiction.

Material Facts

The U.S. Army awarded Contract No. W56HZV-11-D-0204 to Globe on September 21, 2011.
The contract was a five-year requirements contract for M870A4 low-bed semitrailers and related deliverables.
The contract contained two termination for convenience clauses: FAR 52.212-4(l) and FAR 52.249-2.
The U.S. Army terminated the contract for convenience on March 11, 2014.
Globe submitted its termination settlement proposal on November 12, 2014, asserting entitlement to $7.2 million.
The contracting officer issued a final decision granting Globe $987 thousand.
Globe appealed to the Board on December 21, 2016, docketed as ASBCA No. 60979.
Globe submitted a revised termination settlement proposal in June 2017, asserting entitlement to $21 million.
The TSP II Supplement included a certification of the claimed constructive change costs.
The government informed Globe that the contracting officer would not issue a final decision, leading to the appeal based on a deemed denial.

Parties

Appellant: Globe Trailer Manufacturing, Inc.
Respondent Agency: Defense Contract Management Agency
Contract Number: W56HZV-11-D-0204

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