1. Home
  2. |Insights
  3. |Agency Liable For Negligent Estimate In LOE Contract

Agency Liable For Negligent Estimate In LOE Contract

Client Alert | less than 1 min read | 10.07.04

In Sanford Cohen & Assocs., Inc. (Sept. 8, 2004), the Interior BCA held the EPA liable for a negligently-prepared estimate included in a level-of-effort (LOE) contract when the EPA ordered significantly less than its estimated quantities for each performance period. Because the contractor reasonably relied on the EPA's original estimate in arriving at its offered prices, the board ordered an equitable adjustment and condemned both the "egregious" manner in which the EPA unilaterally modified the contract language to shirk liability for lesser orders and the EPA's "essential[ly] unfair[]" but routine practice of ordering substantially less than 90% of the specified LOEs in its contracts.

Insights

Client Alert | 8 min read | 11.10.26

EU Simplifies Rules on Defense Procurement and Transfers of Defense-Related Products

The European Union has enacted its first major reform of the 2009 directives on defense procurement and intra-EU transfers of defense-related products. The amending directive, which has been adopted as part of the Defense Readiness Omnibus legislative package (also known as “Omnibus V”), aims to simplify and accelerate procedures both for buying defense- and security-related goods, and for transferring such goods between EU Member States.  ...