Claim for Alleged Breach of Timber Sales Contract

B-186113: Aug 27, 1976

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Shirley Jones
(202) 512-8156


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An advance decision was requested concerning a claim against the agency for allegedly breaching a timber sale contract by suspending operations. Whether or not the agency breached the contract, the contractor may not be reimbursed for the cost of construction which was required by the contract, and compensation may not be granted for idled machinery and lost profits for which damages were not established with reasonable certainty. A claim was made by the contractor on behalf of a subcontractor, and since the subcontract did not contain a clause exculpating the contractor of liability for Government-caused damages, the claim was treated as it if were the contractor's own.