Government Shutdown - Stop Work/ Delivery

Started by Fobbulous · Sep 28, 2023 · 7 replies

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    Fobbulous

    Sep 28, 2023 · 2y ago

    Original post

    What authority can be used to stop work or delivery of items if the Stop Work Clause, Suspension of Work Clause or other similar language was not included in a commercial contract? Is the Government Shutdown authority in and of itself? i.e. " Because of the government shutdown do not deliver items because the office will be closed."

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    Neil Roberts

    Sep 28, 2023 · 2y ago · edited 2y ago

    Fobbulous said:

    What authority can be used to stop work or delivery of items if the Stop Work Clause, Suspension of Work Clause or other similar language was not included in a commercial contract?

    You are probably thinking from the government view, and I was hoping that the Government would provide such guidance. However, from the contractor side, there are a few common law concepts that are applicable in contracts even if not specifically incorporated. They could afford a contractor a defense for delaying performance or even cancelling the contract due to a shutdown.

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    joel hoffman

    Sep 29, 2023 · 2y ago

    Assuming that there is “no authority” to direct an action that you expect will cost more money, how about thinking outside the box… The KO could CALL the contractor and ASK IF they could delay shipping the products during the shutdown and then assess the response as to whether it would cost more. It might not.

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    here_2_help

    Sep 29, 2023 · 2y ago

    joel hoffman said:

    Assuming that there is “no authority” to direct an action that you expect will cost more money, how about thinking outside the box… The KO could CALL the contractor and ASK IF they could delay shipping the products during the shutdown and then assess the response as to whether it would cost more. It might not.

    Key discussion points being:

    - If the contractor delivers the customer may not be available to perform inspection and acceptance

    - If the contractor delivers and obtains acceptance, there may be no staff in the payment office to process the invoice

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    Retreadfed

    Sep 29, 2023 · 2y ago

    Fob, you mentioned a "commercial contract."  Are you talking about a government contract for commercial products/services?  If so, is FAR 52.212-4 in the contract?  If 52.212-4 is in the contract, why can't you use (c) and possibly (f) to solve your problem?

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    formerfed

    Sep 29, 2023 · 2y ago

    Joel’s advice is right on.  Call the vendor and discuss fixes.

    In the larger scheme of things, this is nothing.  A bad snow storm likely causes more disruption.

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    Jamaal Valentine

    Sep 29, 2023 · 2y ago

    On 9/28/2023 at 1:48 PM, Fobbulous said:

    What authority can be used to stop work or delivery of items if the Stop Work Clause, Suspension of Work Clause or other similar language was not included in a commercial contract? Is the Government Shutdown authority in and of itself? i.e. " Because of the government shutdown do not deliver items because the office will be closed."

    You asked a pretty clear question and deserve a clear answer. Retreadfed pointed you in a good direction.

    Aside, look at the commercial termination for convenience clause for authority. Also, there is a lot of literature suggesting that a lapse of appropriation resulting in a shutdown is a Sovereign Act. My understanding is that the latter is a defense against certain claims. Lastly, in cases where site availability or necessary oversight, engagement, or inspection is required, but unavailable (e.g., can’t take delivery) - this may be an excusable delay under a contract clause Retreadfed mentioned (I don’t view this as an authority, per se).

     These are general responses to your general question. The facts will dictate if any of these are sound.

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    joel hoffman

    Sep 30, 2023 · 2y ago

    If it’s an order for supplies, there should be little reason to have to terminate. The contract/order is funded. If they haven’t shipped the items yet, first contact them to  check to see if they can hold them for a few days…

    Well, today is the 30th deadline. Unless the OP is working today, the question is now academic.

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