CBCA 5826

Board: CBCA Agency: Department of Veterans Affairs Appellant: CTA I, LLC Date: 2022-03-22 Outcome: granted
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GRANTED AS TO INTEREST ACCRUAL DATES: April 20, 2022 CBCA 5826, 6861, 6897, 7049 CTA I, LLC, Appellant, v. DEPARTMENT OF VETERANS AFFAIRS, Respondent. John M. Manfredonia of Manfredonia Law Offices, LLC, Cresskill, NJ; William E. Dorris of Kilpatrick Townsend & Stockton LLP, Atlanta, GA; and Brian G. Walsh and Jennifer Eve Retener of Wiley Rein LLP, Washington, DC, counsel for Appellant. Harold W. Askins, III, Office of General Counsel, Department of Veterans Affairs, Charleston, SC, and Tyler W. Brown, Office of General Counsel, Department of Veterans Affairs, Portland, OR, counsel for Respondent. Before Board Judges GOODMAN, KULLBERG, and CHADWICK. CHADWICK, Board Judge. The Board’s decision awarding termination for convenience costs in this case reserved the issue of the accrual of interest under 41 U.S.C. § 7109 (2018) for further proceedings. After supplemental briefing, we agree with the appellant that its “equitable adjustment claim[s]” were “not extinguished by the government’s termination for convenience,” American Eagle Industries, Inc. v. Babbitt, No. 98-1466, 1999 WL 508318, at *3 (Fed. Cir. July 14, 1999) (citing James M. Ellett Construction Co. v. United States, 93 F.3d 1537, 1546 (Fed. Cir. 1996)), and that interest on the equitable adjustments of the contract price runs from the date that the appellant submitted the certified equitable adjustment claim underlying CBCA 5826, 6861, 6897, 7049 2 CBCA 6861, while interest on the remainder of the award runs from the date that the appellant certified the termination costs claim. Decision The appeals are GRANTED as to interest accrual dates. Of the $1,465,664.10 awarded, statutory interest shall accrue on the equitable adjustment amount of $414,883.40 from January 25, 2020, until the payment date and shall accrue on the remaining $1,050,780.70 from January 27, 2020, until the payment date. Kyle Chadwick KYLE CHADWICK Board Judge We concur: Allan H. Goodman H. Chuck Kullberg ALLAN H. GOODMAN H. CHUCK KULLBERG Board Judge Board Judge