GSA Audit Action on Notices of Overcharges Sent to Carrier

Interstate Van Lines, Inc. requested a reconsideration of a decision which sustained a General Services Administration (GSA) audit action on three notices of overcharges sent to Interstate. Interstate added a clause to the required certificates supporting payment which stated that the charges must be audited before payment or the carrier would not be liable for any overpayment unless the billing was tendered directly to the carrier. In a previous decision concerning this modification, GAO held that this action was unlawful and could not preclude the United States from collecting the overcharges. The disclaimer did not constitute a valid modification of contract since only GSA could agree to the amendment, not the disbursing agency. The United States cannot be bound beyond the actual authority conferred upon its agents. Furthermore, it has consistently been held that persons or corporations erroneously paid by a Government agency or officials acquire no right to the money and are bound in equity and good conscience to make restitution. Therefore, the decision was sustained.