(Editor’s Note.  This is the last installment of four articles on claims.  Proper presentation of a claim is about a contractor’s only method of obtaining a price increase on a fixed price contract.  The other articles included discussions on what is a constructive change, express changes and delays and how to quantify it.  We have relied on numerous articles and texts and especially those written by Carl Vacketta of the law firm of Piper & Marbury P.P.L.).

Whether it is for an express or constructive change, a contractor cannot obtain an equitable price adjustment until it submits a well prepared claim.  Under an express change, the change is normally ordered by the government and the government and contractor reach an understanding about the scope of the change and its effect by relating information to the change.  When an express order is issued and the understanding is achieved, the contractor begins work.

When the change is constructive or the result of a delay the work has usually already been performed so the government may be less motivated to reach an acceptable understanding.  The facts, their justification and documentation of the added costs must be carefully presented to a party who may be less than receptive.  The following is intended to provide some general yet useful advice in preparing the claim.

Proper preparation involves several steps including analyzing the contract, investigating the facts, determining whether the government or contractor is responsible, preparing the actual claim and negotiating a settlement with the government.

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