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B-189045 1 (1977-10-04)

handle is hein.gao/gaobadfeb0001 and id is 1 raw text is: 







                                           THE  COMPTROLLER GLhERAL
              DECISION y             .     OP   THE UNITEO 5vA'rES
                                           WASHIN1TON. 0 .C            054a


**4

              FILE-      B-189045                DATE:   October 4, 1977

              MATTER OF:        Harco Inc. - Reconsidcration.


              DIGEST:

              1.  Anticipated profits are not recoverable against Government,
                  uven if claimant is wrongfully denied contract.

               7. Anticipaced contract salary is not recoverable against
                  Government.  Post-bid-opening en:penses are recoverable only
                  where expenses have been incurred and Government would be
                  eutopped to deny existence of contract.


                  In'Harco  Inc., 3-189045, August 24, 1977, we held that the
              Departments of the A'y  and Air Force Natiofial Guard Bureau
              (National Guard) ihould have rejected the bid of Southwestern
              Contractors, Inc. (Southwestern), as noncesponsive because a prebid
              telegian from .£outhwestern could hhv2 been reasonably interpreted
              to Medn that it wa  not offer~ng a firm fixed-price contract as
              required by the 1n4itaticn for bias. However, since Southwestern
              had reportedly completed more than 50 percent of the contract,
              we determined chat no aaningful  remedial action could be take-.

                   Marco Inc. (Harco) now claims $10,000 in anticipated prodft
               and $8,OO in anticipated salary.

                   We have consisteAtly held,'that anticipated profits are not
               recoverable against tbe Government, even if a claimant is wrong-
               fully denied a contraLct. Robert'Swortzel, B-188764, April 22,
               1977, 77-1 CPD 280. Post-bid-opening expenses are recoverable only
               where the expenses haive buen actually incurred and the Government
               would be estopped to deny the existence of a contract. The
               following four elements must be present to prevail on an natoppel
               theory:

                   1.  the Government must know .ll tta facts;

                   2.  the Government must intend that its conduct shall
                       be acted on or must so act that the bidder has a
                       right to believe that is so intended;






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