News & Analysis as of

Termination for Convenience

Massachusetts Governmental Agency May Terminate Contract for Cost Savings

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

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

by Bowditch & Dewey on

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

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

by PilieroMazza PLLC on

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

Don’t Get Lost Filing and Prosecuting CDA Claims

by PilieroMazza PLLC on

Although the Contract Disputes Act (“CDA”) is intended to provide an efficient way for contractors to resolve disputes with the Government, contractors often encounter difficulties when submitting and prosecuting CDA claims....more

Termination for Convenience: File on Time and Document Your Costs

by Davis Wright Tremaine LLP on

Last month, the Armed Services Board of Contract Appeals issued two decisions involving terminations for convenience. Both decisions are instructive regarding how contractors should anticipate contractual and regulatory...more

What Is “Fair Compensation” Following Termination for Convenience by the Government?

The Armed Services Board of Contract Appeals (ASBCA) recently tackled a contractor’s claim for pre-construction costs following termination for convenience by the U.S. Army Corps of Engineers. In Pro-Built Construction Firm...more

Termination for convenience: What is the contractor entitled to?

by White & Case LLP on

Construction contracts often include termination for convenience clauses. Three recent cases highlight the potential financial implications of terminating for convenience....more

Understanding Government Contract Terminations

by PilieroMazza PLLC on

It is important for prime contractors to understand what it means if its contract with the Federal Government is terminated and what rights and obligations it has. Nearly every Government contract contains a clause allowing...more

Revisions to ConsensusDocs® Design-Bid-Build Standard Forms

Every construction project has a contract (written, preferably), and they often vary in size and scope depending on the nature and complexity of a project. Many construction industry participants have developed their own...more

Litigating Against the Government? Recent Decision Regarding Claim Certification Dispute Proves That Forrest Gump's Mama Was Right...

by McCarter & English, LLP on

Forrest Gump’s mama was a brilliant woman. As anyone who watched the 1994 Academy Award-winning classic can confirm, Mrs. Gump’s advice to her son provided an indispensable well of wisdom from which Forrest often drew to...more

Court of Federal Claims Rules Contracting Officer’s Failure to Exercise Independent Business Judgment Renders Partial Termination...

by Pepper Hamilton LLP on

Securiforce Int’l America, LLC v. United States, 125 Fed. Cl. 749 (March 21, 2016) - Plaintiff Securiforce International America, LLC (“Securiforce”) was awarded a contract by the Defense Logistics Agency Energy (“DLA...more

Washington State Court Upholds Termination For Convenience Clause in Subcontract – Partial Performance Provides Adequate...

by Pepper Hamilton LLP on

SAK & Assocs. v. Ferguson Constr., Inc., 189 Wn. App. 405 (Wash. Ct. App. 2015) - Ferguson Construction, Inc. (“General Contractor”) entered into a fixed sum contract (the “Subcontract”) with SAK & Associates...more

Claims Webinar Series: Contract Terminations

by PilieroMazza PLLC on

In this presentation: - Termination for Convenience (“T4C’) - Termination for Default (“T4D”) - T4C vs. T4D at a glance - Brief overview of termination appeals - Q & A Please see full...more

Termination for convenience clauses revisited. Can they limit potential claims?

by Reed Smith on

The nature of termination for convenience clauses - As mentioned in our alert of last year, click here to read, it is increasingly the case that contracts provide one and, sometimes, both of the parties, with the...more

Whether for Cause or Convenience, Termination Can Be Tricky

by Sherman & Howard L.L.C. on

Termination of a construction contract is tricky and fraught with risk. Whether the termination is for cause or for convenience, the contract must be followed to the letter for a termination to be valid. Virtually every...more

Termination for Convenience - An Unfettered Right. Discuss.

by Reed Smith on

Does there need to be a reason for termination? In addition to a party’s right to bring a contract to an end at common law, most engineering and construction contracts contain provisions allowing the parties to terminate...more

"Termination for Convenience Clauses in the Private Arena: Traps Every Construction Practitioner Should Know"

by Nexsen Pruet, PLLC on

Originally published in the SC Bar Construction Law Section's "News and Notes" in January 2012. If you do a thesaurus search of the word “termination,” you’ll find: “extinction, annihilation, execution, slaughter, and...more

Over-the-Cliff: Advice to Contractors Facing Sequestration

by Smith Anderson on

Automatic spending cuts caused by “sequestration” went into effect on March 1, 2013, after the federal Government could not avoid or further delay sequestration as Congress and the President had agreed during January of 2013....more

Sequestration Is Here – Now What Happens to Government Contractors?

On March 1, 2013, President Obama ordered the implementation of across-the-board cuts – sequestration – primarily directed to military and domestic discretionary spending because the White House and congressional leaders...more

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