B-186852: Oct 21, 1976

WHERE PURCHASER OF EXCESS HIGH GRADE ZINC SENT CHECK TO AGENCY AND CHECK WAS MADE PAYABLE TO AGENCY BUT DRAWN ON BANK ACCOUNT OF THIRD PARTY. WHICH WAS ACCEPTED AND PAID BY BANK. LB TOOK DELIVERY OF SOME HIGH GRADE ZINC AND WAS ERRONEOUSLY ADVISED BY GSA THAT IT STILL DID NOT TAKE DELIVERY OF ABOUT 315. GSA ADVISED THAT UNDER THE CONTRACT THE COST OF THE UNDELIVERED HIGH GRADE ZINC PLUS AN ACCRUED...

B-186852: Oct 21, 1976

A check made payable to an agency but drawn on the bank account of a third party may properly be considered as payment from the purchaser and subject to setoff. Where inadvertent, erroneous advice of an agency results in overpayment by a purchaser, the agency has the right and the duty to apply the excess payment to extinguishing existing indebtedness of the purchaser...