Request for Contract Reformation
B-181533: Jul 17, 1974
- Full Report:
A firm requested reformation of a contract to purchase excess property located in Turkey from the Department of Defense. The purchaser was the only concern authorized to purchase Defense property in Turkey. The error involved a misplaced decimal point that had the effect of making the purchaser's quotation ten times that of the unit price of its then existing contract to purchase similar property. Where the contracting agency admits that it should have been on notice of an error, and where the evidence in the record established that an error was in fact committed, relief may be granted. Both parties to the contract agreed that the contracting officer should have recognized the mistake at the time of the award. Accordingly, GAO did not object to the reformation of the contract.