Validity of Award of Second Contract to Contractor Following Default on First Contract for Same Requirement
B-184827
Dec 09, 1975
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Highlights
The contractor claimed compensation for goods delivered under a questionable contract. A second contract awarded at a higher price to the same contractor for materials covered under a requirements contract was void since award of the second contract amounted to modification of the requirements contract without consideration passing to the Government. Since the Government accepted goods delivered under the void contract, the contractor was entitled to payment for value of the benefit conferred. However, payment was limited to the amount by which the Government would be unjustly enriched.