Vigor Marine, LLC

Material Facts

• The Navy awarded Vigor a fixed-price contract for repair and modernization of the USS Chosin and USS Cape St. George.
• CLIN 0054 concerned additional pierside days requiring an availability extension for the USS Chosin.
• The Navy exercised CLIN 0054 at contract award, and the contract documents identified 85 days and a daily pierside rate.
• FAR 52.217-7 required option exercise in writing no later than final delivery of the vessel and stated that added items would continue at the same rate as like items under the contract unless otherwise agreed.
• Note E stated that the fully burdened daily rates would be used for negotiating additional dry-dock and pierside performance days in the event of a government-required extension.
• The Navy and Vigor entered into a modification concerning a 225-day extension, and the modification incorporated Vigor’s extension proposal.
• Vigor’s extension proposal stated that the final 85 days would be treated as defined in CLIN 0054 and that the remaining 140 days would be priced as outlined in the proposal.
• The Navy later issued a unilateral modification extending pierside availability by 161 days and applied the CLIN 0054 rate to those days.
• Vigor’s claim asserted that the Navy could not apply the CLIN 0054 rate to more than 85 days and that additional days required reliance on the changes clause.

Parties

Appellant

Vigor Marine, LLC

Respondent Agency

Department of the Navy

Contracting Agency

Department of the Navy

Contract Number

N00024-19-C-4447