Court upholds Navy cancellation of A-12 aircraft
Court Alerts
Boeing Co. and General Dynamics Corp. must pay the government $2.8 billion to settle a nearly two-decade dispute over the cancellation of a Navy contract for a stealth aircraft, the U.S. Court of Appeals for the Federal Circuit ruled Tuesday.
The Navy was justified in 1991 when it opted to terminate the $4 billion contract with McDonnell Douglas and General Dynamics to build a stealth aircraft, the court said.
Chicago-based Boeing, which acquired McDonnell Douglas in 1997, said it will appeal the ruling.
The aircraft project was ended for being substantially over budget and behind schedule, according to the Justice Department. Both contractors were under a fixed-price contract to develop the A-12, a carrier-based attack aircraft.
But because of serious technical difficulties, the Pentagon refused to approve additional funding, leading the Navy to cancel the program.
In a 29-page opinion, the court explained the contractor's performance history showed that "the government was justifiably insecure about the contract's timely completion."
Both contractors are now required to repay the government more than $1.35 billion, plus interest of $1.45 billion.
Boeing had questioned whether the government owed money to both companies for work in progress when the contract was terminated.
In a statement, Boeing called for an immediate appeal of the court's ruling. Falls Church, Va.-based General Dynamics issued a statement saying it disagrees with the ruling and continues to believe that the government's default termination was not justified. The company intends to seek a re-hearing in the Federal Circuit.
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Is Now the Time to Really Call a Special Education Lawyer?
IDEA, FAPE, CHILD FIND and IEPs: The Individuals with Disabilities Education Act (IDEA) guarantees all children with disabilities to a free appropriate public education (FAPE). FAPE starts with a school’s responsibility to identify that a child has a disability (Child Find) and create an Individualized Education Program (IEP) to suit the needs of the child.
Forte Law Group is one of only a very few law firms within the state of Connecticut that is dedicated to exclusively representing families and children with special needs.
Parents need to be persistent, dedicated and above all else aware of the many services and accommodations that their child is entitled to under the law. As early as this point within your child’s special education, many parents will often find themselves in the situation asking, “is now the time to really call a special education lawyer?” Here are a few things to consider when asking yourself that question.