B-118356, JANUARY 29, 1954, 33 COMP. GEN. 323

B-118356: Jan 29, 1954

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IN ACCORDANCE WITH GOVERNMENT ISSUED INSTRUCTIONS EVEN THOUGH THERE WAS A TUG STRIKE IN NEW YORK HARBOR WHICH RECEIVED NATIONWIDE PUBLICITY. SHOULD HAVE BEEN ON NOTICE OF THE STRIKE AND SHOULD NOT HAVE ATTEMPTED DELIVERY AT THAT TIME AND IS NOT ENTITLED TO ADDITIONAL FREIGHT COSTS INCURRED. 1954: REFERENCE IS MADE TO YOUR LETTER OF DECEMBER 3. IT IS CONTENDED BY YOU THAT DOCK RECEIPT NO. 514 ISSUED FEBRUARY 2. THAT DUE TO A TUG STRIKE IN THE NEW YORK HARBOR YOU WERE NOT PERMITTED TO UNLOAD THE MATERIAL. THAT SHIPMENT WAS FINALLY MADE ON MARCH 12. THAT SINCE THE GOVERNMENT ISSUED INSTRUCTIONS FOR DELIVERY OF THE MATERIAL DURING THE STRIKE IT IS LIABLE FOR THE ADDITIONAL FREIGHT CHARGES INCURRED.

B-118356, JANUARY 29, 1954, 33 COMP. GEN. 323

CONTRACTS - INCREASED COSTS - STRIKES CONTRACTOR WHO ATTEMPTED TO DELIVER BORIC ACID SHIPMENT FAS NEW YORK, NEW YORK, IN ACCORDANCE WITH GOVERNMENT ISSUED INSTRUCTIONS EVEN THOUGH THERE WAS A TUG STRIKE IN NEW YORK HARBOR WHICH RECEIVED NATIONWIDE PUBLICITY, SHOULD HAVE BEEN ON NOTICE OF THE STRIKE AND SHOULD NOT HAVE ATTEMPTED DELIVERY AT THAT TIME AND IS NOT ENTITLED TO ADDITIONAL FREIGHT COSTS INCURRED.

COMPTROLLER GENERAL WARREN TO OCTAGON PROCESS, INC., JANUARY 29, 1954:

REFERENCE IS MADE TO YOUR LETTER OF DECEMBER 3, 1953, REQUESTING REVIEW OF SETTLEMENT DATED OCTOBER 19, 1953, WHICH DISALLOWED YOUR CLAIM IN THE SUM OF $22.56, REPRESENTING THE ADDITIONAL AMOUNT ALLEGED TO BE DUE FOR FREIGHT CHARGES INCURRED IN CONNECTION WITH SUPPLIES FURNISHED THE GENERAL SERVICES ADMINISTRATION UNDER CONTRACT NO. GS-03P 50 ( EC) DATED NOVEMBER 13, 1952.

THE CONTRACT REQUIRED THE FURNISHING OF A CERTAIN QUANTITY OF ONE POUND BOTTLES OF BORIC ACID POWDER AT A STIPULATED UNIT PRICE, DELIVERY TO BE MADE F.A.S. NEW YORK, NEW YORK. IT IS CONTENDED BY YOU THAT DOCK RECEIPT NO. 514 ISSUED FEBRUARY 2, 1953, REQUIRED DELIVERY TO BE MADE TO THE PIER NOT LATER THAN FEBRUARY 5, 1953; THAT DUE TO A TUG STRIKE IN THE NEW YORK HARBOR YOU WERE NOT PERMITTED TO UNLOAD THE MATERIAL, FORCING RETURN THEREOF TO YOUR PLANT; THAT SHIPMENT WAS FINALLY MADE ON MARCH 12, 1953; THAT YOU INCURRED FRIGHT CHARGES OF $22.56 FOR DELIVERY AND RETURN OF THE MATERIAL TO YOUR PLANT; AND THAT SINCE THE GOVERNMENT ISSUED INSTRUCTIONS FOR DELIVERY OF THE MATERIAL DURING THE STRIKE IT IS LIABLE FOR THE ADDITIONAL FREIGHT CHARGES INCURRED.

UNDER THE TERMS OF THE CONTRACT IT WAS YOUR RESPONSIBILITY TO DELIVER THE SUPPLIES F.A.S. VESSEL, PORT OF EXIT. THE FACT THAT A TUG STRIKE IN THE NEW YORK HARBOR PREVENTED DELIVERY OF THE SUPPLIES ON YOUR FIRST TRIP CANNOT OPERATE TO INCREASE THE CONTRACT PRICE TO THE GOVERNMENT. THE TUG STRIKE RECEIVED NATIONWIDE PUBLICITY AND SINCE YOU ARE LOCATED NEAR THE SCENE OF THE STRIKE, IT IS OBVIOUS THAT YOU WERE ON NOTICE THEREOF AND SHOULD NOT HAVE ATTEMPTED DELIVERY AT THAT TIME. IF YOU DID SO IT WAS YOUR OWN RESPONSIBILITY. ALSO, YOUR ATTENTION IS INVITED TO THE FACT THAT THE CONTRACT MAKES NO PROVISION FOR THE PAYMENT OF EXCESS COSTS INCURRED BY YOU DUE TO STRIKES, ETC. ..END :