63320

SBA Contracting, LLC

October 3, 2023Judge Arnett
Denied / Government PrevailedTermination for DefaultCDA JurisdictionCommercial Item

SBA Contracting, LLC appealed the U.S. Army's termination of its contract for cause, seeking conversion to a termination for convenience and damages. The Board upheld the termination, finding it justified due to SBA's failure to deliver compliant vehicles.

Material Facts

  • The Army awarded a firm fixed price contract to SBA for leasing and maintaining non-tactical vehicles.
  • SBA was required to deliver 121 vehicles by May 1, 2022, but delivered only 13, of which 12 were rejected for being older than 2019.
  • SBA requested an extension to deliver compliant vehicles but did not receive formal approval for this extension.
  • The Army issued a show cause notice on May 10, 2022, and terminated the contract for cause on June 1, 2022.

Parties

Appellant
SBA Contracting, LLC
Respondent Agency
U.S. Army
Contract Number
W56KGZ-22-P-7020
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