ASBCA 62201
Board: ASBCA
Agency: Army Corps of Engineers
Appellant: AICI-Archirodon JV
Date: 2021-07-19
Outcome: denied
ARMED SERVICES BOARD OF CONTRACT APPEALS
Appeal of -- )
)
AICI-Archirodon JV ) ASBCA No. 62201
)
Under Contract No. W912ER-17-C-0014 )
APPEARANCES FOR THE APPELLANT: Scott M. Heimberg, Esq.
Thomas P. McLish, Esq.
Amanda B. Lowe, Esq.
Akin Gump Strauss Hauer & Feld LLP
Washington, DC
APPEARANCES FOR THE GOVERNMENT: Michael P. Goodman, Esq.
Engineer Chief Trial Attorney
Rebecca L. Bockmann, Esq.
James D. Stephens, Esq.
Engineer Trial Attorneys
U.S. Army Engineer District, Middle East
Winchester, VA
OPINION BY ADMINISTRATIVE JUDGE OSTERHOUT
ON THE PARTIESâ CROSS-MOTIONS FOR SUMMARY JUDGMENT
This appeal involves a contract to replace the Mina Salman Pier in Manama,
Bahrain. The contract required appellant to use United States-flagged vessels to transport
materials unless it applied for and was granted an exception to use a foreign-flag vessel.
The government moves for summary judgment, arguing that appellant failed to properly
request an exception and failed to follow the contract by using a foreign-flagged vessel. 1
Appellant cross-moves for summary judgment, alleging that it properly filed a request for
exception but the contracting officer failed to respond in a timely manner, and that no
harm occurred to the government. We grant the governmentâs motion, in part, regarding
appellantâs failure to properly request an exception and follow the requirements of the
1 The government also filed a motion in limine to exclude appellantâs expert testimony
and report. The government argued that the Board should shield the record
from the introduction of irrelevant, immaterial, or cumulative matters and that
the expertâs opinion included legal conclusions (govât mot. at 1, 14). Based on
this decision, the risk of appellantâs expert report being irrelevant, immaterial,
or cumulative is low. Further, the Board is capable of giving the report and
potential testimony the proper weight it deserves. Thus, the governmentâs
motion in limine is denied.
contract. We deny the governmentâs motion as to the amount. Similarly, we deny
appellantâs motion, in part, regarding entitlement but grant appellantâs motion, in part,
concerning the inability to determine the amount based on the record.
STATEMENT OF FACTS (SOF) FOR PURPOSES OF THE MOTIONS
1. On September 25, 2017, the United States Army Corps of Engineers (USACE
or the government) awarded Contract No. W912ER-17-C-0014 (the contract) to
AICI-Archirodon JV (AAJV or appellant) to replace the Mina Salman Pier at Naval
Support Activity, Manama, Bahrain, at the firm-fixed-price of $48,148,000 (R4, tab 4
at 1-2).
2. The contract incorporated by reference Defense FAR Supplement (DFARS)
252.247-7023, TRANSPORTATION OF SUPPLIES BY SEA (APR 2014) (R4, tab 4
at 14). The clause stated, in part, â(b)(1) The Contractor shall use U.S.-flag vessels
when transporting any supplies by sea under this contract.â Further, the clause
allowed for exceptions to this requirement and provided a method by which the
contractor could request to use a foreign-flag vessel from the contracting officer (CO):
(c) The Contractor and its subcontractors may request that
the Contracting Officer authorize shipment in foreign-flag
vessels, or designate available U.S.-flag vessels, if the
Contractor or a subcontractor believes thatâ
(1) U.S.-flag vessels are not available for timely shipment;
(2) The freight charges are inordinately excessive or
unreasonable; or
(3) Freight charges are higher than charges to private
persons for transportation of like goods.
(d) The Contractor must submit any request for use of
foreign-flag vessels in writing to the Contracting Officer
at least 45 days prior to the sailing date necessary to meet
its delivery schedules.