United States v. Renda

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This case arose out of a government contract to dredge a portion of the Houston-Galveston navigation channel. At issue was the scope of a corporate officer's personal liability under 31 U.S.C. 3713 (the Priority Statute). The court concluded that the decision of a corporate officer rendered pursuant to the Contract Disputes Act of 1978 (CDA), 41 U.S.C. 7101 et seq., was a "claim" within the meaning of the Priority Statute; a debtor's representative had "notice" of that claim, necessary to trigger personal liability under the Priority Statute, when he had actual knowledge of its existence, whether or not he consulted counsel as to its validity; no genuine issue of material fact remained, and the government was entitled to judgment as a matter of law; and the district court did not abuse its discretion in striking the affirmative defenses and denying the motion for reconsideration. Accordingly, the court affirmed the judgment. View "United States v. Renda" on Justia Law