Terminations

Government contracts, despite the inclusion of a termination clause, are entered into both parties with the intention that they be preformed to completion. The unusual nature of terminations, their abruptness and consequent disruptions of operations, the imbalance of costs and percentage of various points during the performance period combine to prelude the use of traditional contract costing techniques in the development and furtherance of termination settlement claims. Leonard G. Birnbaum & Company's experience in this aspect of Government contracting includes:

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Settlement proposal preparation

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Equitable price adjustments under partial terminations

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Administration of claims from, and settlements with, subcontractors

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Negotiations of settlements proposals

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Development and monetization of unique items of cost:
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Settlement expenses

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Loss of learning

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Application of lost formula

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Recovered start-up costs

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Obligations under leases

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Impact on overhead

 

 

Justin Sakofs, Webmaster

justin@lgbirnbaum.com