Claim Arising from Alleged Bid Error

A company appealed the denial of its claim arising from its alleged failure to include Federal Excise Taxes (F.E.T.) in the bid price. The claim for amounts of F.E.T paid on two contracts was allowed since the large difference in bid prices put the contracting officer on constructive notice of a possible bid error in spite of past procurement history. In a third contract, which was awarded on the basis of only one solicited bid, the contracting officer was not on notice of the possibility of error, and the claim arising out of this contract was denied. The claim for interest and penalties accrued on account of failure to pay F.E.T. under the three contracts can not be paid according to provisions of contracts and laws of the United States.