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B-183047 1 (1975-02-27)

handle is hein.gao/gaobadceb0001 and id is 1 raw text is: THE COMPTROLLER GENERAL OECISION OF THE UNITEO STATES WASHINGTON, D.C. 20548 FILE: B-183047 DATE: February 27, 1975 MATTER OF: Denton Welding Supply Company DIGEST: 1. Supplier of gas cylinders, which cylinders were furnished under Blanket Purchase Agreement (DD Form 1155) and 10 of which were subsequently lost in vessel sinking, may be paid value of cylinders notwithstanding lack of clause in DD Form 1155 regarding liability for loss since delivery receipts, signed by authorized Government official, placed liability for loss on vendee (Government) and fact that first delivery receipt covering five cylinders included no such clause is not sufficient to deny payment for five of the 10 lost cylinders as it is reasonable to assume these had been returned to supplier. 2. Late payment charge for overdue accounts may be paid by Government because notice of such charge was included in supplier's delivery receipts signed by authorized Govern- ment official and Government became bound to pay such charge. The Engineer Comptroller, Corps of Engineers, Department of the Army has requested our decision as to the propriety of certifying for payment a voucher of $984 to Denton Welding Supply Company (Denton) in payment for six oxygen and four acetylene cylinders lost while in the possession of the Government. The cylinders were aboard the U.S. Seagoing Hopper Dredge A. MacKenzie when that vessel sank on April 24, 1974. No attempt was made to recover the cylinders which had been supplied by Denton to the Corps of Engineers under a Blanket Purchase Agreement (DD Form 1155). Doubt has arisen as to whether the $984 may be paid to Denton because DD Form 1155 is silent as to the liability of the parties in the event of loss of the cylinders. A review of the record submitted to our Office by the'Corps of Engineers shows that the initial delivery of three oxygen and - 1 -

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