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ASBCA Holds That Contractor Entitled to Recover Costs of Preparing to Perform, When CO Terminated Contract Before Notice to Proceed

Client Alert | 1 min read | 09.27.17

In Appeal of Pro-Built Construction Firm (ASBCA No. 59278), the Board found that the contractor was entitled to recover nearly $290,000, even though Pro-Built never actually performed the contract. The U.S. Army Corps of Engineers contracted with Pro-Built to construct a police station in Afghanistan, but eight months later, terminated the contract for convenience, before the USACE ever issued a notice to proceed with construction to Pro-Built. After the USACE determined Pro-Built was entitled to $48,972 in reimbursable costs, Pro-Built appealed to the Board, arguing it was also entitled to direct labor and subcontractor costs as well as lost profit. In rejecting the USACE’s argument that it was unreasonable to incur “standby” costs prior to the NTP, the Board found that Pro-Built was entitled to three months of these costs and lost profit, holding that it was reasonable for Pro-Built to have staff on standby for three – not eight – months, and Pro-Built properly determined it was in its best interest to retain personnel and subcontractors in advance of construction due to the labor market and security situation in Afghanistan.

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Client Alert | 7 min read | 06.24.26

DOJ’s National Security Division Announces First Declination Under New Corporate Enforcement Policy With Parallel BIS Settlement

On June 17, 2026, the U.S. Department of Justice’s (DOJ( National Security Division (NSD) announced that it had issued a declination for Robert Bosch GmbH (Bosch) relating to potential violations of the Export Control Reform Act, 50 U.S.C. § 4819 (ECRA). Specifically, the DOJ declined to criminally prosecute Bosch’s violations of the Export Administration Regulations’ (EAR) Foreign Direct Product Rule (FDPR), which apparently resulted from two Bosch subsidiaries’ export of products and software manufactured with equipment that was the direct product of U.S. software or technology to Huawei Technologies Co., Ltd. and its “Entity List” affiliates, including Huawei Tech. Investment Co., Ltd., Hong Kong (collectively, Huawei). The same day, the U.S. Department of Commerce Bureau of Industry and Security (BIS) announced a parallel civil administrative settlement with Bosch....