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LOC Clause Applies To Each Delivery Order, Not Full Contract

Client Alert | 1 min read | 07.30.04

In Analysas Corp. (May 12, 2004), the ASBCA held that, under an indefinite quantity cost-plus-fixed-fee contract for services, the contract’s limitation of cost (“LOC”) clause (which required the contractor to give notice if its costs were expected to exceed 75% of the "estimated cost specified in the Schedule") allowed the government to deny payments to a contractor for costs it incurred in excess of the estimated cost for each delivery order, even though the contractor had not yet exceeded 75% of the maximum total labor hours specified "in the Schedule" for the full contract. The Board reasoned that the contract lacked the “critical provision” of a specific dollar figure "in the Schedule" for the total estimated contract cost, instead allowing for later addition of estimated costs for each delivery order that the government issued.

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Client Alert | 3 min read | 06.03.26

Important EU Court Judgment Clarifies Rules on Interest Due in Cartel Damages Cases

In a judgment that will have direct and immediate consequences, the Court of Justice of the European Union (CJEU) has clarified that for all competition damages actions brought after 26 December 2014, interest runs from the date on which the harm occurred. The ruling addressed two important questions: (1) whether national provisions implementing Article 3(2) of the EU Damages Directive — which requires interest to run from the date harm occurred —apply to cases in which the harm preceded the adoption of those provisions; and (2) how the date of harm should be determined in cartel cases involving the purchase of goods at inflated prices....

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