[Protest of Army Decision to Exercise Contract Option]

B-251102: Mar 10, 1993

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A firm protested the Army's decision to exercise a contract option for furnishing and servicing portable toilets which was originally awarded as a small business set-aside, contending that the: (1) Army should not have accepted a large business as the successor to the original awardee, since it was not eligible for the small business set-aside; and (2) Army's exercise of the option was invalid and violated the Small Business Act. GAO held that the: (1) Army properly accepted the large business as the successor to the original awardee; (2) awardee was not required to retain its small business status throughout the contract, since it was a certified small business at the time of award; and (3) Army properly exercised the contract option. Accordingly, the protest was denied.

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