Government Contracting Database
The government cannot have it both ways. It cannot, when it is hurting for military hardware or ordnance items, prevail upon American industry to supply those items under conditions of the utmost national urgency and then, because it unilaterally decides it does not need the items any longer or that the envisioned effectiveness thereof fails to be realized, suddenly decide, after the fact, that the emergency did not justify the extraordinary means it agreed upon to obtain the items. As the United States Supreme Court said in S&E Contractors, Inc. v. United States, 406 U. S. 1 at p. 10 (1972), a contractor is entitled to expect fair dealings from his government. ‘Fair dealings’ means, among other things, living up to the agreements made.
Appeal of Am. Elec., Inc., ASBCA No. 16635, 76 – 2 BCA ¶ 12151, Inc; see also Appeal of Cent. Nav. & Trading Co. S.A., ASBCA No. 23909, 80 – 2 BCA ¶ 14497.
Updated: August 2, 2018