Impasse in Negotiations Establish Right to Appeal
(Editor’s Note. A formal final decision by an ACO is not the only trigger to file an appeal.)
Ensign’s contract was terminated and its termination settlement proposal was not settled after numerous exchanges so it filed a notice of appeal. The government claimed the appeal board had no jurisdiction since it was not a Contract Disputes Act claim following an ACO’s final decision but the board ruled it had jurisdiction because the parties had reached an impasse in negotiations. It stated an impasse occurs when an objective observer would find that continued negotiating is unwarranted or has been abandoned by the parties and the contractor has sought a final decision which was met here where the termination contractor office sent Ensign an email saying “it was apparent that negotiations will not close the gap” (Ensign-Bickford Aerospace & Def. Co., ASBCA No. 58671)
