ASBCA 61085
Board: ASBCA
Agency: Army
Appellant: Horton Construction Co., Inc.
Date: 2018-02-14
Outcome: denied
ARMED SERVICES BOARD OF CONTRACT APPEALS
Appeal of-- )
)
Horton Construction Co., Inc. ) ASBCA No. 61085
)
Under Contract No. W9124E-11-C-0021 )
APPEARANCE FOR THE APPELLANT: Gregory D. Coleman, Esq.
Johnson Hopewell Coleman, LLC
Decatur, GA
APPEARANCES FOR THE GOVERNMENT: Raymond M. Saunders, Esq.
Army Chief Trial Attorney
CPI John M. McAdams III, JA
MAJ Bruce L. Mayeaux, JA
Trial Attorneys
OPINION BY ADMINISTRATIVE JUDGE OSTERHOUT ON THE
GOVERNMENT'S MOTION TO DISMISS FOR LACK OF JURISDICTION
This is an appeal of a contracting officer's denial of a claim by Horton Construction
Co., Inc. (Horton or appellant), alleging that it is owed $274,599.00 because the contract
required, in part, crushing and removal of approximately 69,000 tons of concrete but the
actual amount was closer to 29,000 tons and, alternatively, $244,282.00 under the
"Variation in Estimated Quantity clause," which was not in the contract (R4, tab 27 at 25).
In its complaint, Horton alleges that one of three clauses should have been used to grant its
relief: Federal Acquisition Regulation (FAR) 52.243-4, CHANGES (JUN 2007); FAR
52.236-2, DIFFERING SITE CONDITIONS (APR 1984 ); or FAR 52.211-18, VARIATION IN
ESTIMATED QUANTITY (APR 1984 ). The government moves to dismiss because it alleges
that Ms. Dominique Horton Washington was not a vice president of the company. Further,
the government moves to dismiss because Horton was administratively terminated by the
Louisiana Secretary of State on 19 January 2017. In response, Horton filed copies of
documentation from government officials in Louisiana, including: 1) Ms. Washington's
appointment as the executrix of Mr. Johnny Lee Horton, Sr., who was the president of
Horton; 2) Horton's certification of incorporation, dated 27 October 2017, which
demonstrates that the company has been reinstated; and 3) Horton's certificate of
reinstatement, dated 23 October 2017. The government further contends, as raised in its
reply brief, that any action to ratify the notice of appeal post-reinstatement is beyond the
90-day statutory time limit for filing an appeal with the Board. As such, the government
contends, the Board lacks jurisdiction to decide the appeal. We deny the government's
motion to dismiss.
STATEMENT OF FACTS (SOF) FOR PURPOSES OF THE MOTION
1. In September 2011, a contracting officer from the Directorate of
Contracting, Mission and Installation Contracting Command, Fort Polk, Louisiana,
awarded Contract No. W9124E-11-C-0021, a firm-fixed-price contract in the amount
of$1,943,148.51, to Horton. The work to be performed included crushing a concrete
stockpile and work associated with erosion control at Fort Polk, Louisiana (R4, tab 1 at
3, 7, 9). The contract was awarded as a non-competitive Small Business Section 8(A)
Set-Aside, or direct award (R4, tab 1 at 49).
2. The contract contained FAR 52.243-1, CHANGES-FIXED-PRICE (AUG 1987),
which stated in relevant part: "( e) Failure to agree to any adjustment shall be a dispute
under the Disputes clause" (R4, tab 1 at 48). The Disputes clause is at FAR 52.233-1
and is substantively the same today as it was when the contract was executed. 1
3. On 12 November 2012, Mr. Chauncy Horton signed FP Form 1186,
Certification of Final Payment, Contractors Release of Claims ( final payment and final
release) (R4, tab 16).
4. On 6 March 2014, the parties executed a bilateral modification to de-obligate
funds, signed for appellant by Mr. Chauncy Horton (R4, tab 18).
5. Between 23 October 2014 and 17 July 2015, Mr. Johnny L. Horton, Sr.,
signed several letters requesting an equitable adjustment due to the difference between
the estimated 69,000 tons of crushed concrete and the lower actual amount of crushed
concrete (R4, tabs 19-24).
6. On 27 May 2016, attorneys for Horton submitted a certified claim for equitable
adjustment in the amount of $274,599.00 (R4, tab 27). Ms. Dominque Horton Washington
signed the certification and listed her title as vice president (id. at 26).
7. On 2 June 2016, Mr. Johnny L. Horton, Sr., passed away (gov't mot. at 2;
app. resp. at 2).
8. On 16 December 2016, in a final decision, the contracting officer denied the
claim (R4, tab 28). The contracting officer denied the claim because Horton made a
business decision to enter into a subcontract with a different pricing scheme than the
government's contract with Horton (id.