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Do Not Pass Go: Board Dismisses Claim on Jurisdictional Grounds

Client Alert | 1 min read | 10.20.17

In Elham Ahmadi Construction Company (ASBCA No. 61031), the Board determined it lacked jurisdiction to consider a contractor’s appeal arising from a termination for default and the contractor’s related claim to recover payment for work that was performed and accepted by the Government prior to the termination. First, the Board held that while “a termination for default is both a government claim and contracting officer’s final decision that can be directly appealed to the Board,” a contractor must appeal such termination within the statutorily-mandated 90 days. Because the contractor did not contest the termination until six years after the termination, the Board concluded it lacked jurisdiction to consider the termination’s propriety. Second, the Board concluded that the contractor’s claim – which requested “about $71500 Dollars” – did not constitute a claim because it lacked the required sum certain. The Board explained that qualifiers such as “about” or “at least” make a sum uncertain and deprive the Board of jurisdiction, a reminder to contractors to observe the jurisdictional prerequisites in the Contract Disputes Act and the FAR, or risk forfeiting otherwise viable claims.

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Client Alert | 1 min read | 07.08.26

CAS Board Publishes Final Rule Rescinding CAS 404, 408, 409, and 4117

As part of its ongoing effort to conform the Cost Accounting Standards (“CAS”) to generally accepted accounting principles (“GAAP”), the CAS Board published a final rule rescinding CAS 408 (Accounting for costs of compensated personal absence) and CAS 411 (Accounting for acquisition costs of material).  The CAS Board also rescinded CAS 404 (Capitalization of tangible assets) and CAS 409 (Depreciation of tangible capital assets) but retained certain requirements of CAS 404 and 409, which will be located in new paragraphs of CAS 405 (Accounting for unallowable costs).  Specifically, the CAS Board retained the requirements currently located at CAS 404-50(d)(1), CAS 409-50(e)(5), CAS 409-50(j)(1), and CAS 409-50(j)(4), which the CAS Board explained are necessary to protect the Government’s interests.  Otherwise, the CAS Board determined that the requirements of CAS 404, 408, 409, and 411 overlapped with GAAP such that GAAP “may be applied reasonably as a substitute for CAS to support contract cost and pricing.”...