ASBCA 61025

ARMED SERVICES BOARD OF CONTRACT APPEALS Appeal of -- ) ) CKC Systems, Inc. ) ASBCA No. 61025 ) Under Contract No. SPRPA1-12-C-W008 ) APPEARANCE FOR THE APPELLANT: Ms. Jenny Cheng President APPEARANCES FOR THE GOVERNMENT: Daniel K. Poling, Esq. DLA Chief Trial Attorney Edward R. Murray, Esq. Trial Attorney DLA Aviation Richmond, VA SharifT. Dawson, Esq. Trial Attorney Defense Supply Center Philadelphia, PA OPINION BY ADMINISTRATIVE JUDGE OSTERHOUT This appeal arises from a contracting officer's termination for default of Contract No. SPRPA1-12-C-W008 (the contract) for containers between CKC Systems, Inc. (appellant or CKC) and the Defense Logistics Agency (the government or DLA). CKC alleges that it should be allowed to continue the contract because it completed the first article test and can complete the contract. The government argues that CKC failed to deliver the containers on time and does not have an excusable delay. The parties have elected to waive a hearing and submit the case upon the record pursuant to Board Rule 11. We deny the appeal. FINDINGS OF FACT 1. On April 4, 2012, DLA awarded the contract to CKC. The contract required CKC to produce 26 containers, National Stock Number (NSN) 6KH 8145-01-274-3467, at a unit price of$12,614.38 each for a total of $327,973.88 as contra<;:t line item number (CLIN) OOOlAA. (R4, tab 1 at 1-2) 2. The contract required a not separately priced first article test as CLIN OOOlAB (R4, tab 1 at 2).  3. Delivery of the first article was due within 180 days of contract award. Early delivery was authorized. (R4, tab 1 at 2) 4. The contract incorporated Solicitation No. SRPA1-l l-R-W223, CKC's proposal, and the contract award (R4, tab 1 at 1, block 18). 5. The contract included drawing no. 600E001 (R4, tab 1 at 3). The solicitation also included drawing no. 600E001 (R4, tab 6 at 7). 6. Four shock mounts were required as part of the container and listed as part 21 on drawing no. 600EOO 1. The drawings annotated that the shock mounts were part number C635-1A and the manufacturer was Dow Elco. (R4, tab 22 at 3) 7. The drawings instructed: Each shock mount shall be marked with its manufacturing cure date£l1 (month and year) permanently molded in the top of the mount material so as to be plainly visible when the mount is installed. If mount configuration makes this impossible, the cure date shall be stamped on the top surface of the flexing element using white waterproof ink conforming to A-A-208. Shock mounts shall be no older than one (]) year old when installed in the container. (R4, tab 22 at 3 n.12) (emphasis added) 8. The drawings directed where CKC was to place the shock mounts by indicating the placement of part 21 (R4, tab 22 at 7). 9. The contract incorporated by reference Federal Acquisition Regulation (FAR) 52.249-8, DEFAULT (FIXED-PRICE SUPPLY AND SERVICE) (APR 1984), which states: (a)(l) The Government may, subject to paragraphs (c) and (d) below, by written notice of default to the 1 Cure Date - Curing is the heat-induced process whereby the long chains of the rubber molecules become cross-linked by a vulcanizing agent to form three dimensional elastic structures. The Cure Date is the date that the rubber is fully molded in this process. (https://www.colonialseal.com/downloads /press-releases/TAEiastomerCureDates.