B-129468, MAY 6, 1957
Highlights
INC.: REFERENCE IS MADE TO OFFICE LETTER OF NOVEMBER 19. IT IS REGRETTED THAT THE SUM OF $755.75. REFERRED TO IN OUR DECISION AS THE AMOUNT OF THE GOVERNMENT'S CLAIM WAS ERRONEOUS. ACTUALLY THERE IS DUE THE GOVERNMENT THE SUM OF $1. YOU WERE ALLOWED CREDIT FOR TRANSPORTATION CHARGES. THE CORRECT COMPUTATION OF THE INDEBTEDNESS DUE IS AS FOLLOWS: REPLACING COSTS. 818.01 IT IS NOTED THAT 35 UNITS AND 10 UNITS. WHICH UNDER THE PROVISIONS OF YOUR CONTRACT WERE TO BE SHIPPED TO ATLANTA. WERE SHIPPED BY REPLACER PURSUANT TO ITS CONTRACT. WE WILL HOLD THIS MATTER IN ABEYANCE FOR A PERIOD OF 30 DAYS FROM THE DATE HEREOF AWAITING YOUR PAYMENT OF THE SUM OF $1. UNLESS ARRANGEMENTS ARE MADE TO SATISFY THE INDEBTEDNESS WITHIN THIS PERIOD.
B-129468, MAY 6, 1957
TO BAYSWATER CRAFTSMAN, INC.:
REFERENCE IS MADE TO OFFICE LETTER OF NOVEMBER 19, 1956 (B-129468), CONCERNING THE GOVERNMENT'S CLAIM AGAINST YOU FOR EXCESS COSTS INCURRED DUE TO YOUR DEFAULT UNDER CONTRACT NO. DA-36-039-SC-36457, DATED JUNE 13, 1952.
IT IS REGRETTED THAT THE SUM OF $755.75, THERETOFORE DEMANDED FROM YOU BY OFFICE LETTER OF SEPTEMBER 11, 1956, AND REFERRED TO IN OUR DECISION AS THE AMOUNT OF THE GOVERNMENT'S CLAIM WAS ERRONEOUS. ACTUALLY THERE IS DUE THE GOVERNMENT THE SUM OF $1,818.01, AS HEREINAFTER EXPLAINED.
IN THE INITIAL COMPUTATION OF THE AMOUNT DUE, YOU WERE ALLOWED CREDIT FOR TRANSPORTATION CHARGES, WHEREAS THE CONTRACT PROVIDED THAT THE UNIT PRICE OF $31.92 INCLUDED TRANSPORTATION CHARGES TO THE STATED DESTINATIONS.
THE CORRECT COMPUTATION OF THE INDEBTEDNESS DUE IS AS FOLLOWS: REPLACING COSTS--- HARPTONE MANUFACTURING CORP., NEWARK, NEW JERSEY; CONTRACT DA-36- 039-SC-62286, DATED MARCH 26, 1954; DISCOUNT 3/4 OF 1 PERCENT, 10 CALENDAR DAYS.
CHART
220 UNITS AT $34.72 $7,638.40 LESS DISCOUNT OF 3/4 OF 1 PERCENT
57.29 $7,581.11 PLUS TRANSPORTATION CHARGES, AS FOLLOWS: 65 UNITS, 6240 LBS. FROM NEWARK, N.J. TO AVON, KY.
AT $4.31 CWT. 268.94 55 UNITS, 5280 LBS. FROM NEWARK, N.J. TO
POLK, CALIFORNIA, AT $9.86 CWT. 520.61 45 UNITS, 4320 LBS. FROM NEWARK, N.J. TO
TOBYHANNA, PENNSYLVANIA, AT $2.78 CWT. 120.10 35 UNITS, 3360 LBS. FROM NEWARK, N.J. TO
DECATUR, ILLINOIS, AT $5.09 CWT. 171.02 20 UNITS, 1920 LBS. FROM NEWARK, N.J. TO
SAN ANTONIO, TEXAS, AT $6.50 CWT. PLUS 15 PERCENT 143.52 1,224.19
-------- -------- TOTAL REPLACING COST
$8,805.30 BROUGHT FORWARD
$8,805.30 COST UNDER YOUR DEFAULTED CONTRACT - F.O.B.
DESTINATIONS; DISCOUNT 1/2 OF 1 PERCENT,
20 CALENDAR DAYS 220 UNITS AT $31.92 $7,022.40 LESS DISCOUNT, 1/2 OF 1 PERCENT 35.11 6,987.29
-------- -------- EXCESS COSTS DUE THE GOVERNMENT $1,818.01
IT IS NOTED THAT 35 UNITS AND 10 UNITS, WHICH UNDER THE PROVISIONS OF YOUR CONTRACT WERE TO BE SHIPPED TO ATLANTA, GEORGIA, AND BALTIMORE,MARYLAND, RESPECTIVELY, WERE SHIPPED BY REPLACER PURSUANT TO ITS CONTRACT, TO TOBYHANNA, PENNSYLVANIA. THIS RESULTS IN LESS EXCESS COST TO YOU THAN IF SHIPMENT HAD BEEN MADE TO THE POINTS NAMED IN YOUR CONTRACT.
WE WILL HOLD THIS MATTER IN ABEYANCE FOR A PERIOD OF 30 DAYS FROM THE DATE HEREOF AWAITING YOUR PAYMENT OF THE SUM OF $1,818.01. UNLESS ARRANGEMENTS ARE MADE TO SATISFY THE INDEBTEDNESS WITHIN THIS PERIOD, THE CLAIM WILL BE REFERRED TO THE DEPARTMENT OF JUSTICE FOR COLLECTION ACTION, INCLUDING SUIT, IF NECESSARY.