Summary
This document is a Per Curiam opinion from the Armed Services Board of Contract Appeals resolving an appeal by Maverick Constructors, LLC against the U.S. Army Corps of Engineers regarding a fixed-price construction contract for water resource infrastructure in Florida. The appellant sought equitable adjustments for alleged differing site conditions, constructive changes, design defects, and project delays encountered during excavation and levee construction. After reviewing extensive factual findings regarding subsurface soil conditions, material processing methods, and quality control deficiencies, the Board denied the appeal in its entirety.
Topics
Practice areas
Questions Presented
- Whether Maverick proved a Type I differing site condition.
- Whether the government breached the duty of good faith by delaying provision of additional borrow area.
- Whether Maverick is liable for costs of levee rework performed by its subcontractor.
- Whether the government’s comments on transmittals constituted a constructive change regarding pond risers.
- Whether the government is liable for costs arising from defective sheet‑pile wall specifications (Spearin doctrine).
- Whether Maverick is entitled to compensation for seed establishment and vegetative‑free‑zone work.
- Whether Maverick is entitled to a 695‑day time extension and release of liquidated damages.
Holdings
- The Board denied the differing site condition claim, finding that the contract, geotechnical data, and specifications warned of rock and that Maverick had not shown the conditions were materially different or unforeseeable.
- The Board denied the breach of good‑faith claim, concluding the government provided an additional borrow area within a reasonable time and Maverick failed to show unreasonable delay.
- The Board denied the levee administration claim, holding that Maverick must bear the cost of removing and rebuilding the levee because the work did not comply with contract specifications.
- The Board denied the constructive‑change claim, finding that the government’s comments were advisory and did not constitute an order to change the contract.
- The Board denied the sheet‑pile wall claim, holding that the contractor was put on notice of the defect and voluntarily proceeded, so the government is not liable for additional costs beyond the modifications provided.
- The Board denied the seed‑establishment claim, finding that the work was within the contract’s scope and Maverick bears its cost.
- The Board denied the delay and liquidated‑damages claims, concluding Maverick failed to prove compensable delays and that the government properly assessed liquidated damages.
Key quotations
“Because the conditions that Maverick and its subcontractors encountered were not different than the conditions set forth in the contract, appellant has not satisfied the first element of a Type I differing site condition.”
“The government’s comments on transmittals were advisory and did not constitute an order to change the contract; therefore no constructive change occurred.”
Factual background
Maverick Constructors was awarded a firm‑fixed‑price contract to construct levees, canals, pumping stations, and related work in Hendry County, Florida. During performance the contractor encountered material it claimed was unsuitable, alleged differing site conditions, and sought adjustments for additional borrow area, levee rework, pond riser specifications, sheet‑pile wall design defects, seed establishment, and liquidated damages.
Procedural history
The contracting officer denied all of Maverick's certified claims. Maverick appealed to the Armed Services Board of Contract Appeals, which conducted hearings and ultimately denied the appeal.