Franklin Pavkov Construction Company v. Roche

Franklin Pavkov Construction Company (FPC) (plaintiff) entered into a contract with the United States Air Force (government) (defendant) to install stairs in Air Force dormitory buildings. Under the contract, the government was to supply government-furnished property (GFP) consisting of a range of stair parts. The contract did not specify when, how, or where the GFP must be delivered. The government delivered the GFP to a fenced area close to the work site and met with FPC to review and inventory the delivery. FPC left the meeting voluntarily before completing the inventory. FPC did not subsequently complete the inventory. Six months into FPC’s one-year installation contract, FPC notified the government that certain required items were missing from the delivered GFP. FPC completed the contract work by purchasing or constructing the necessary items. After work was complete, FPC submitted a certified claim to the government’s contracting officer for additional costs and adjustments, alleging that the government was responsible for FPC’s increased costs because (1) the GFP delivery was inadequate and incomplete, forcing FPC to incur additional procurement and construction costs; and (2) the government never fully discharged its delivery duties because it did not completely inventory the GFP delivery with FPC. The contacting officer denied the claim. FPC appealed to the Armed Services Board of Contract Appeals (Board). The Board confirmed the denial, holding that (a) FPC had an implied duty to inspect the GFP for completeness and suitability upon delivery; and (2) FPC’s notice was untimely. FPC appealed to the Federal Circuit.