B-125368, DEC. 9, 1955
Highlights
TO STANDARD WIRE AND CABLE COMPANY: REFERENCE IS MADE TO YOUR LETTER OF AUGUST 16. BASED ON THE ALLEGATION THAT THE MATERIALS RECEIVED WERE A DISTINCT LOT DIFFERENT FROM LOT 47 ON WHICH YOU BID. IN RESPONSE TO AN INQUIRY CONCERNING YOUR CONTENTION THAT YOU DID NOT RECEIVE LOT 47 THE ADMINISTRATIVE AGENCY HAS REPORTED TO OUR OFFICE THAT THE MATERIAL SHIPPED TO YOU WAS THE SAME MATERIAL OFFERED UNDER LOT 47 AND THAT NO SUBSTITUTION OR MISSHIPMENT WAS MADE BY THE DEPARTMENT OF THE NAVY. IT IS THE INVARIABLE RULE OF THE ACCOUNTING OFFICERS OF THE GOVERNMENT TO ACCEPT THE STATEMENT OF FACTS AS REPORTED BY THE ADMINISTRATIVE OFFICERS. IS NOT ENGAGED IN NORMAL TRADE. BUYERS HAVE NO RIGHT TO EXPECT.
B-125368, DEC. 9, 1955
TO STANDARD WIRE AND CABLE COMPANY:
REFERENCE IS MADE TO YOUR LETTER OF AUGUST 16, 1955, REQUESTING REVIEW OF OFFICE SETTLEMENT DATED AUGUST 9, 1955, WHICH DISALLOWED YOUR CLAIM FOR REFUND IN THE AMOUNT OF $1,150.84, REPRESENTING THE DIFFERENCE BETWEEN YOUR BID PRICE FOR MATERIALS FURNISHED YOU BY THE DEPARTMENT OF THE NAVY UNDER CONTRACT NO. N228S-6683 AND YOUR ESTIMATED VALUE OF THE MATERIALS ACTUALLY RECEIVED, BASED ON THE ALLEGATION THAT THE MATERIALS RECEIVED WERE A DISTINCT LOT DIFFERENT FROM LOT 47 ON WHICH YOU BID.
IN RESPONSE TO AN INQUIRY CONCERNING YOUR CONTENTION THAT YOU DID NOT RECEIVE LOT 47 THE ADMINISTRATIVE AGENCY HAS REPORTED TO OUR OFFICE THAT THE MATERIAL SHIPPED TO YOU WAS THE SAME MATERIAL OFFERED UNDER LOT 47 AND THAT NO SUBSTITUTION OR MISSHIPMENT WAS MADE BY THE DEPARTMENT OF THE NAVY.
THIS OFFICE, HAVING NO FIRST-HAND KNOWLEDGE OF THE FACTS, MUST NECESSARILY RELY UPON THE REPORT OF THE ADMINISTRATIVE OFFICE RELATIVE THERETO. IN THE ABSENCE OF EVIDENCE LEGALLY SUFFICIENT TO OVERCOME THE PRESUMPTION OF THE CORRECTNESS THEREOF, IT IS THE INVARIABLE RULE OF THE ACCOUNTING OFFICERS OF THE GOVERNMENT TO ACCEPT THE STATEMENT OF FACTS AS REPORTED BY THE ADMINISTRATIVE OFFICERS.
THE GOVERNMENT, IN DISPOSING OF WAR SURPLUS MATERIALS, IS NOT ENGAGED IN NORMAL TRADE, AND BUYERS HAVE NO RIGHT TO EXPECT, HAVE NOTICE NOT TO EXPECT AND CONTRACT NOT TO EXPECT ANY WARRANTIES WHATEVER. YOUR CONTRACT FOR THE PURCHASE OF 10,000 FEET TYPE SHFS-100 CABLE AND 16,000 FEET WIRE, NO. 14 AWG, TYPE RH, AS WAR SURPLUS MATERIAL EXPRESSLY STATED THAT ALL PROPERTY WAS SOLD "AS IS" AND "WHERE IS" WITHOUT EXPRESS OR IMPLIED WARRANTY OF ANY KIND, ANY IMPLIED WARRANTY THAT ALL THE CABLE AND WIRE WOULD CORRESPOND TO MATERIALS SUBMITTED FOR INSPECTION AND SALE WHICH MIGHT OTHERWISE HAVE ARISEN BEING DISPLACED BY THE SPECIFIC AGREEMENT THAT THERE SHOULD BE NONE. THEREFORE, THE COMMON LAW RULE OF CAVEAT EMPTOR APPLIES. SEE AMERICAN ELASTICS, INC. V. UNITED STATES, 84 F.SUPP. 194, AFFIRMED 187 F.2D 109.