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B-186301 1 (1977-01-06)

handle is hein.gao/gaobadeil0001 and id is 1 raw text is: 






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OATE: ammq 6, ff


MATTER OF: OMMI Research, Inc. - Reconsideration


DIc3EBT:


      To sustain claim of unconscionability1 cvidence must show
      that Government took advantage of contraetor in awarding
      contract to it. Nere shoring, that contractor suffered
      contract losses doen not justify claim.

      ONMI Rasearch, Inc. (0wI) requests reconsidur:;ion of
our desision 5-186301,Uctober 19, 19.6, 76-2 CPD 341. The
decisiouheld  in part hat in spite of,the disparity between
OW'   aPrice of $6.40 per test .mape ind the next lowest
propes d price ft $13.31 per test sample, mo1Lllef could be
granted on grounds that the prIce was unconscionable. Wde noted
that O1   had been given ample opportunity to verify its proposed
price prior to award, and we concluded that it could not justifiably
claim that the contracting agency had superior knowledge as to the
inadequacy of its proposed price.

      OWL  contends however, that the ,-acord amply demonstrates
unconscionabllity. It po:nts out that relief has been granted
by this.Office without rejard to fault of ic contractor. It
states as follows:

      5*  *C1I'  actual cost of performing the
      required analyses, which is far in excess of
      the vuntract:price, Indicatos the unconacion-
      abilily of the contrict price. The actual cost
      of performance, $23.0 per sample, is~almost
      four times the contriet price of $6.40,per sample.
      Even if one were to ssume some inefficiency on
      ONNI's part (and there is absolutely nothing to
      suggest any inefficfency), the magnitude of the
      difference clearly establishes that the Governrent
      is getting something for nothing.

      Thus, the evidence before your Office
      indicates thats


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                *97,NTMU COMPTROLLEM IENEMAL
DCiION                      OP   TMs UNETE eTATEM
                            WASHINGTON. D.C. 20040


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FILE:  5-184301


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