Justia Government Contracts Opinion Summaries

Landlords Moving brought civil rights claims under 42 U.S.C. 1983 and 1985 against defendants. Landlords Moving alleged that deputy sheriffs executed an illegal kickback scheme in which they funneled eviction business to private moving companies in exchange for cash payments. The district court dismissed the amended complaint for failure to state a claim against all three defendants and entered a final judgment under Rule 54(b). Landlords Moving appealed. The court reversed the dismissal of Landlords Moving's claim against defendant Laurie Main for alleged violations of Landlords Moving's rights under the First Amendment; reversed the dismissal of Landlords Moving's claims for declaratory and injunctive relief with respect to that claim; and affirmed the dismissal of all other claims and remanded for further proceedings. View "L.L. Nelson Enterprises, Inc., et al. v. County of St. Louis, Missouri, et al." on Justia Law

During World War II, the U.S. contracted with oil companies for the production of aviation fuel, which resulted in production of hazardous waste. The waste was dumped at the California McColl site. Several decades later, the oil companies were held liable for cleanup costs under the Comprehensive Environmental Response, Compensation, and Liability Act, 42 U.S.C. 9601, and sought reimbursement from the government based on the contracts. The district court entered summary judgment on liability, finding that the contracts contained open ended indemnification agreements and encompassed costs for CERLCA cleanup, and awarded $87,344,345.70. The trial judge subsequently discovered that his wife had inherited 97.59 shares of stock in a parent to two of the oil companies. The judge ultimately vacated his summary judgment rulings; severed two companies from the suit and directed the clerk to reassign their claims to a different judge; reinstated his prior decisions with respect to two remaining companies; and entered judgment against the government ($68,849,505). The Federal Circuit vacated and remanded for reassignment to another judge. The judge was required to recuse himself under 28 U.S.C. 455(b)(4) and the error was not harmless.View "Shell Oil Co. v. United States" on Justia Law

The company has been under contract with the U.S. Army’s Morale, Welfare, and Recreation Fund since 1993 to build and operate a hotel at a military base on Oahu. With 18 years remaining on the agreement, the Armed Services Board of Contract Appeals determined that the Fund breached the core of the contract and the parties entered the damages phase of the dispute. The company filed a separate complaint alleging that the Fund had done nothing to cure its ongoing breach. The ASBCA dismissed the second complaint as duplicative. The Federal Circuit affirmed, finding that the company voluntarily waived its right to appeal to the court under its negotiated contract with the Fund. View "Minesen Co. v. McHugh" on Justia Law

Following published stories about an investigation of their business practices, principals of a waste-management company improved their chances of winning a bid for a contract to refurbish garbage carts for the City of Chicago by slashing their bid. They encouraged other companies to bid in hopes of being hired as a subcontractor if another company won the bid. Each bidder had to certify that it had not entered into any agreement with any other bidder or prospective bidder relating to the price, nor any agreement restraining free competition among bidders. The company won the bid, and after a Justice Department investigation for antitrust violations, the principals were convicted of mail and wire fraud. The Seventh Circuit reversed, reasoning that the purpose of "colluding" with other potential bidders had not been to prevent them from underbidding but to provide insurance against the bid being rejected based on the earlier investigation. There was no harm as a result of the company encouraging additional bidders. View "United States v. Fenzl" on Justia Law

In 2008 the district court calculated damages for the government's partial breach of the Standard Contract for disposal of spent nuclear fuel using the 1991 Annual Capacity Report and the duty of good faith and fair dealing. The Federal Circuit, having set the 1987 ACR as the appropriate acceptance rate for a causation analysis under the Standard Contract, remanded. On remand, the district court set the amount of damages at $89,004,415. The Federal Circuit affirmed, holding that the new judgment accounts for the proper causation times and principle. View "Pacific Gas & Elec. Co. v. United States" on Justia Law

Four mobile home park owners appealed the dismissal of their suit under the Fair Housing Amendments Act of 1988 (FHAA), 42 U.S.C. 3604, 3617, challenging a city zoning ordinance prohibiting any mobilehome park currently operating as senior housing from converting to all-age housing. The court held that because the FHAA was silent on whether such senior housing zones were permissible and because federal regulations allow for them, the judgment of the district court was affirmed. View "Putnam Family P'ship, et al. v. City of Yucaipa" on Justia Law

Appellants challenged the Agencies' execution of a tiered review process related to planning improvements to Virginia's Interstate 81 corridor. The district court rejected appellants' challenge which alleged various constitutional and statutory violations. On appeal, appellants claimed that the Agencies were attempting to foreclose consideration of environmentally friendly alternatives for specific sections of I-81 by choosing a corridor-wide improvement concept in the first stage of the review process. The court held, however, that appellants misapprehended the Agencies' position where the Agencies planned to comply with the Stipulation in this case and the National Environment Policy Act (NEPA), 42 U.S.C. 4321 et seq., by considering site-specific alternatives to the corridor-wide concept in subsequent stages. Because there was no actual dispute here, and because appellants could not show any injury or imminent threat of injury, this suit was not justiciable. Accordingly, the court dismissed the appeal. View "Shenandoah Valley Network v. Capka, et al." on Justia Law

This case stemmed from a dispute that arose after a 20 year lease program ended in which Polar Star owned 300 units of family housing located on Eielson Air Force Base, Alaska. Polar Star leased the units back to the Air Force but the parties could not agree on the purchase price or the amount of rent payable for an additional year on the lease. The United States first sent notice of a one-year renewal of the lease, then filed a protective eminent domain action to condemn a five-month leasehold in the houses. Polar Star subsequently appealed a number of the district court's rulings. The court held that the district court correctly decided that the government's notice of renewal successfully renewed the Project Lease for one year; the district court's finding that the expiration date of the Ground Lease was the error, and therefore the lease ran for 23 years, was not clearly erroneous; the district court correctly determined that it lacked jurisdiction to adjudicate the amount of rent due from the Government to Polar Star on the renewal; Polar Star did not file an action in district court, so the only matter before the court was the Government's condemnation action; the district court correctly determined that the condemnation action should be dismissed; Polar Star's entitlement to rent beyond what the Government paid was not asserted on a claim or counterclaim in the district court; and plaintiffs may be entitled to pursue a claim in the Court of Federal Claims. Accordingly, the district court's judgment of dismissal was affirmed. View "United States v. Polar Star Alaska Housing Corp, et al." on Justia Law

The "Big Dig" highway project, built largely with federal funds, has transformed vehicular travel in Boston. Defendant supplied concrete and, on occasion, secretly substituted substandard material for the concrete required by contract specifications. Certain employees, including plaintiff, learned of the deception and brought a sealed qui tam action under the False Claims Act, 31 U.S.C. 3729-3733. The federal government intervened, and settled the case for several million dollars. Plaintiff received a percentage of the settlement. A few days after he signed the settlement, defendant dismissed plaintiff, allegedly for his refusal to take a drug test. Plaintiff sued, asserting pretext and retaliation. The district court granted summary judgment in favor of the employer. The First Circuit vacated and remanded, applying a burden-shifting analysis and concluding that the circumstances of the firing are open to legitimate question and that the record, viewed as a whole and in the light most favorable to plaintiff, did not warrant the entry of summary judgment. View "Harrington v. Aggregate Indus., Inc." on Justia Law

Plaintiff, a concessionaire for a recreation facility at Lake Berryessa, made improvements for a resort, boat ramps, roads, sewage system, retaining walls, water purification plant, and parking. Before its agreement expired, plaintiff and others sued, under the Tucker Act (28 U.S.C. 1491(b)(1)-(4)) challenging a plan for soliciting new concessionaire bids, claiming that the federal agency had to require new concessionaires to compensate for facilities. The Court of Federal Claims held that outgoing concessionaires had to remove or abandon the facilities, unless the government required that they remain, in which case concessionaires would receive compensation for selected facilities. The Federal Circuit affirmed. When plaintiff's agreement expired in 2008, it left intact facilities behind, although the government did not request that it do so. Two years later, the government contracted with a new company. Plaintiff claims that the company or the government have used the facilities and filed a complaint, claiming that the government should be found to have retrospectively required their retention. The claims court dismissed based on issue preclusion and that plaintiff had no property interest in the facilities after expiration of the lease. The Federal Circuit affirmed, finding that the government did not "require" that the facilities be left. View "Laguna Hermosa Corp. v. United States" on Justia Law