Since it is not uncommon for a lot of time to elapse between submission of your proposal and actual payment, you may be entitled to interest. A contractor is entitled to interest from the date of submission of a "claim" under the Contract Disputes Act if such a "claim" (1) is in writing (2) requests payment of a sum certain (3) is other than an invoice or routine request for payment (4) is certified if over $100,000 and (5) requests a final decision. The authors state that submission of a termination settlement on an SF 1435 or 1436 meets the requirements (1) through (3) – it is in writing, requesting payment of a sum certain, and a recent Court decision has ruled that a termination settlement proposal is not a routine request for payment.

To satisfy (4) a CDA certification is required stating: "I certify the claim is made in good faith; the supporting data is accurate and complete to the best of my knowledge and belief; the amount requested accurately reflects the contract adjustment for which the contract believes the Government is liable; and I am duly authorized to certify the claim on behalf of the contractor." The signature block on SF 1435 and 1436 does not meet CDA certification requirements and so the CO can refuse to meet the 60-day requirement to issue a final decision.

It is less clear whether the termination settlement proposal that requests a final decision at the time it is proposed is a CDA claim. The Federal Court has ruled that a termination proposal not expressly requesting a final decision was not a CDA claim when it was submitted but "ripened" into one after negotiations reached an impasse. The ASBCA has ruled that a settlement proposal that includes a request for a final decision is a CDA claim even if there was not an impasse in negotiations; a Department of Transportation decision has ruled the opposite saying a termination proposal is not a claim when submitted since it is contractually required to be submitted. Legal experts also disagree at this time.

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