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B-178198 1 (1973-08-30)

handle is hein.gao/gaobaadhh0001 and id is 1 raw text is: bIL SCCOMP'ROLLERGENERAL OF THE UNIE-o S TATt WASHINGTON, MC., 1o4_ B-178198 AUG 3 0 1973 United Stat, Pepartment of Agriculture Forest SiryjcaRegion BEST DOCUMENT AVAILABLE h= r3A23 Portland, Orgon 9720. Attention: M. George D. reitmejer Regional Fiscal Agent Gentlemen; This Is in reply to your letter, of March4Sanc April io 1973, requesting ou-r adice garni f rthe proper disposition to funds due under contract No. 013'A- avarded September 22, 1971, to Kenneth r Walton ,fOr thinning timber In the aTlheur flational Forest (Oregon). The record indicate that the contractor rondere'. for several wonths, during Which time he received Ptrtialpayments under the contract subject to On percent retention (totaling $381.6s) to Inare Job CO-pletjo On August 29, 1972, the contractw-as terminated for default, andasubsequent reproe..nt of the defaulted work resulted in excess cots to the Goernrennt of 4824.22. The record further indicatv the existenn of a valid w ge claim, notice of' which wvs't rtC@LYed by your Departicent on August 24, 01972, in the amount of $521.s5 . There is alsoOntile an assignent dated Septeb e 23, 1971, in far of the U. E. ational lank of Oregon of tlrmoneys due under the contract, The existence of the asIgnment cannot operate to defeat the Gves',et tI right to recover It. reprocurernt costs. it is weil estibe suet at4 s by asignmer. t the assignr-ee could acquir, no greaterrihts 'thlnit s tIgnor, ind that the Government has the right to use retAinedtn-dsto Cp).to a contract when a contractor defaults,9flntithstanding, tha Cliim afacontractor'sasine The National PityPomk fL%% ail . m raonre^---. atr -of-TVaV1 v. United State,43o Nirthermor@, it has been recognized that unpaid laborers have an equitable right to be paid fro contract retainag, frPariman v. Reliance nsurance cnanX, 371 U.S* 132 (19S,2)1 Jiadden v. United States, 132 te Ch1 , t.6,_5 3, Conp. Geno 1o4 (r1 , 3 anTw note that the contract in thi case contained provisions'Allowing FIL C~W GDiPGEN

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