[Claim for Lease Settlement Costs]

The Defense Logistics Agency (DLA) requested an advance decision on a transferred employee's reclaim for rent that was paid in connection with the settlement of an unexpired lease. The employee had paid the rent to avoid a potentially greater liability. DLA disallowed a portion of the claim, because the landlord had sublet the dwelling during the unexpired term and the landlord should have returned that portion of the settlement to the employee. The landlord, however, refused to return the rent in issue. GAO has allowed reimbursement for such expenses because this is a reasonable settlement under the terms of a normal lease. GAO held that, since the employee attempted to obtain a refund and since the payment was required by the lease in the event of the employee's premature termination, the employee was entitled to reimbursement for that portion. Further, the employee's entitlement was not diminished simply because the landlord sublet the premises before the end of the unexpired term. Accordingly, the employee was entitled to the full amount of the settlement.