Claim for Quantum Meruit Recovery Based on Value Engineering Change Proposal

A company claimed that the agency had constructively accepted its value engineering (VE) change proposal containing a VE incentive clause and that the agency had benefited and should make payment on a quantum meruit basis. The claim for quantum meruit recovery was denied since the agency had no authority to make a contract to purchase the contractor's suggestion and, therefore, no implied-in-fact contract existed for that purpose. The agency's actions did not imply modification of the contract to include a VE incentive clause since the agency had advised the contractor that its VE change proposal was rejected. Equitable estoppel did not apply against the government, and the claim for a share of savings to the government was denied.