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Termination for Convenience

McCarter & English Blog: Government Contracts...

What Every Federal Contractor Should Know About the FTC’s Proposed Rule to Void Noncompete Agreements Nationwide—and What to Do...

One of the most dynamic areas of the law that is of keen concern to federal contractors is the issue of employee noncompetition agreements (NCAs). Historically, NCAs were a common and valuable tool employers used to protect...more

Troutman Pepper

Ohio Court Reforms Construction Contract to Correct “Manifest Absurdity” in Termination for Convenience Term

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Hanuman Chalisa, LLC v. BoMar Contr., Inc., 2022-Ohio-1111, 187 N.E.3d 1108 (Ct. App.) - Hanuman Chalisa LLC (owner) contracted BoMar Contracting, Inc. (BoMar) to construct a hotel in Columbus, OH. The contract consisted...more

Husch Blackwell LLP

ASBCA Finds COVID Mitigation is a Sovereign Act

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Unlike private parties in a contract, the government has several unique rights that allows it to avoid its contractual obligations in certain circumstances. We have written about the government’s right to terminate contracts...more

Seyfarth Shaw LLP

Federal Circuit Holds Termination for Convenience Clause Inoperative in Services Contract

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In a recent decision, the Court of Appeals for the Federal Circuit held that FAR 52.212-4(l), the Termination for Convenience clause used in commercial items contracts, had no effect in a services contract—even though the...more

Bass, Berry & Sims PLC

Did the Federal Circuit Just Eliminate Commercial Services?

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In a decision issued on November 17, JKB Solutions v. United States, the Federal Circuit held that the commercial item termination for convenience provision at FAR 52.212-4(l) incorporated by reference into a contract for...more

Morrison & Foerster LLP - Federal Circuitry

Last Week in the Federal Circuit (November 15-19): Government Contracts - A Bridge Too FAR on Termination for Convenience

Although the Federal Circuit did not issue a precedential patent decision this week, there was still plenty of activity, including three grants of mandamus to transfer cases out of the Western District of Texas. Below we...more

Blank Rome LLP

Government Contractor Best Practices in Light of Afghanistan Withdrawal

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This article first focuses on the contract administration aspects that contractors supporting operations in Afghanistan should be thinking of now to prepare for and mitigate downstream and currently unknown risks. It then...more

Husch Blackwell LLP

Terminations For Convenience Clauses vs. Mutual Termination Clauses: What Are The Limits On The Government’s Right To Terminate?

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Imagine as a supplier of medical oxygen cylinders and tanks in your region, you enter into an arrangement with HHS or DHS to provide oxygen to nearby hospital facilities dealing with surges in the COVID-19 pandemic. However,...more

Bradley Arant Boult Cummings LLP

Afghanistan Withdrawal: The Government Contractor’s Guide to Terminations for Convenience

With the United States’ recent withdrawal from Afghanistan, it is only a matter of time before the government begins terminating certain federal contracts for the convenience of the government. Accordingly, government...more

Blank Rome LLP

Government Contractor Best Practices in Light of Afghanistan Withdrawal (Part 1)

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It is hard to describe the manner in which the United States is withdrawing from Afghanistan. At this point, the safety and security of Americans and those who provided critical assistance to U.S. operations in Afghanistan...more

Husch Blackwell LLP

Perfecting A CDA Claim: Sage Advice For The Sum Certain Requirement

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If a dispute arises on a federal contract, the Contract Disputes Act requires a contractor to submit a written demand seeking as a matter of right a “sum certain” to the contracting officer as part of the claims process. What...more

Health Care Compliance Association (HCCA)

Revised UG Ups Micro-Purchase Level, Eases Award Termination, Addresses Indirect Rates

Report on Research Compliance 17, no. 12 (December 2020) - The 120-day closeout that institutions fought for after the Office of Management and Budget (OMB) first released the Uniform Administrative Requirements, Cost...more

Snell & Wilmer

Bad Faith Termination for Convenience

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Many construction contracts include a clause that allows an owner to terminate a contractor’s remaining work on a project at the owner’s convenience. And during a global pandemic and these turbulent economic times,...more

Pillsbury Winthrop Shaw Pittman LLP

Can the Government Terminate a Contract for Convenience When It Does Not Actually Terminate the Contract for Convenience?

Court of Federal Claims rules that the government “constructively” terminated a contractor for convenience when it did not order the quantities specified in the contract. The “constructive termination for convenience”...more

Foley & Lardner LLP

RFP Lessons Learned from COVID-19

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COVID-19 supply chain disruptions and how suppliers and service providers have handled such disruptions have prompted procurement teams to reconsider whether business should be shifted away from suppliers that have performed...more

Vinson & Elkins LLP

[Webinar] Considerations for Companies Entering the Federal Contracting Space - June 17th, 12:00 pm - 1:30 pm ET

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HKA and Vinson & Elkins are pleased to present a webinar on “Considerations For Companies Entering the Federal Contracting Space.” Vinson & Elkins partner, Dan Graham, along with HKA Partners Greg Bingham and Mike LaCorte...more

Bradley Arant Boult Cummings LLP

COVID-19: The Government Contractor’s Guide to Terminations for Convenience

With the challenges presented by the recent and rapid spread of COVID-19 in the United States, it is only a matter of time before the government begins terminating certain federal contracts for the convenience of the...more

Morgan Lewis

Contract Corner: Considerations for a Termination for Convenience Provision

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In a long-term outsourcing, software as a service (SaaS), or other services agreement, the customer will typically push for a termination right relating to the service provider’s breach, and perhaps for an insolvency event or...more

Bradley Arant Boult Cummings LLP

Termination for Default – the Government's Burden - Construction and Procurement Law News, Q3 2019

In Alutiiq Manufacturing Contractors, LLC v. United States, the U.S. Court of Federal Claims ruled that the Government had improperly terminated a construction contract for default and ordered that the default termination be...more

Troutman Pepper

Ninth Circuit Finds Arbitration Award Is ‘Irrational’ Because It Disregards the Contract’s Plain Text Simply to Reach a Just...

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Aspic Eng’g & Constr. Co. v. ECC Centcom Constructors LLC, No. 17-16510, 2019 BL 26363 (9th Cir. Jan. 28, 2019) - Aspic Engineering and Construction Company (“Aspic”), a local Afghan subcontractor, entered into multiple...more

Troutman Pepper

Massachusetts Supreme Court Declares That State Contract Principles, Not Federal Precedent, Govern The Interpretation Of...

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A.L. Prime Energy Consultant, Inc. v. Mass. Bay Transport Auth., 479 Mass. 419 (May 2, 2018) - In a case of first impression, the Massachusetts Supreme Court held that general contract principles, and not federal case law,...more

Bradley Arant Boult Cummings LLP

Notice Periods and Termination Clauses as Limitations on Damages - Construction and Procurement Law News, Q2 2018

A recent Supreme Court of North Dakota holding is worth noting for anyone who enters into agreements containing notice periods to terminate the right or obligation to proceed under a contract. Continental Resources, Inc. v....more

Saul Ewing LLP

Massachusetts Governmental Agency May Terminate Contract for Cost Savings

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Termination for convenience clauses are common in construction contracts with governmental entities and provide the government with disproportionate power over whether a contractor will be able to fully perform its contract. ...more

Bowditch & Dewey

Interpreting Termination for Convenience Clauses: A.L. Prime Energy Consultant, Inc. v. MBTA

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In A.L. Prime Energy Consultant, Inc. v. Massachusetts Bay Transportation Authority (MBTA), the Massachusetts Supreme Judicial Court issued an unambiguous decision on May 2, 2018, that a termination for convenience clause in...more

PilieroMazza PLLC

An Instructive Warning to Contractors of the Need to Understand CDA Requirements

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A few months back, my colleague, Michelle Litteken, wrote a blog post titled “Don’t Get Lost Filing and Prosecuting CDA Claims.” She discussed a decision, Securiforce International America, LLC v. United States, in which the...more

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