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  • Question

    Is this assumption correct? If not for the FAR argument, is there a Statute of Limitations argument that could be raised on appeal if I am to pursue a claim calculated for all the affected years (1994-2007)?


    Answer

    Reference is made to the following at the DCMA Guidebook, Contract Claims and Disputes, Process, para 2.8., http://guidebook.dcma.mil/48/index.cfm :
     
    "2.8.  Statute of Limitations.  There is a six-year statute of limitations upon claims by either party for contracts awarded after October 1, 1995 that may not be waived.  ACOs must pay special attention to the date when CAS non-compliance issues develop or accrue, so they can comply with FAR notice requirements to contractors before issuing a Final Decision.  Determination of when a claim “accrues” can be a complicated issue of law.  Therefore, Contracting Officers should promptly seek assistance of assigned legal counsel when they learn of a potential Government claim."
     
    Specifically, when dealing with legal issues regarding statute of limitation, I would specifically highlight "Contracting Officers should seek assistance of assigned legal counsel when they learn of a potential Government claim."  This is sound advice for any issue involving statute of limitations issues, and particularly so in you situation involving the FAR Part 30, 2005 CAS Cost Impact instructions, as it has been at the center of some recent litigation. The CAS clauses have always provided the Government entitlement to recover monies for CAS non-compliance, even though the the 2005 FAR Part 30 provided guidance for measurement of quantum. Whether or not this FAR administrative guidance for measuring quantum overcomes the Government's long standing entitlement to recovery for contractor non-compliance would be better left as a point of discussion between you and your legal counsel. 

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