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B-311254.2 1 (2008-06-10)

handle is hein.gao/gaocrptavzr0001 and id is 1 raw text is: 




        G     A A                                                  Comptroller General
                                                                    of the United States
United States Government Accountability Office
Washington, DC 20548



         Decision


         Matter of: Canon USA, Inc.

         File:       B-311254.2

         Date:       June 10, 2008

         Andrew Mohr, Esq., Cohen Mohr LLP, for the protester.
         Colonel David P. Harney, Department of the Army, and Michael D. Tully, Esq.,
         General Services Administration, for the agencies.
         Eric M. Ransom, Esq., and Christine S. Melody, Esq., Office of General Counsel,
         GAO, participated in the preparation of the decision.
         DIGEST

         Protest that contracting agency improperly cancelled an order under a Federal
         Supply Schedule (FSS) blanket purchase agreement is denied where the protester's
         FSS contract expired before the order was issued.
         DECISION

         Canon USA, Inc. protests the cancellation of an order issued to it by the Department
         of the Army under request for quotations (RFQ) No. W9124A-08-T-0010, for digital
         copier services.

         We deny the protest.

         In February 2004, pursuant to Federal Acquisition Regulation (FAR) § 8.405-3, the
         Army established blanket purchase agreements (BPA) with eight contractors holding
         Group 36 General Services Administration (GSA) Federal Supply Schedule (FSS)
         contracts for photocopiers. Canon was one of the eight contractors, and was issued
         a BPA on February 23. The BPA had a 5-year term.

         In September 2007, Canon and GSA began to negotiate the renewal of Canon's FSS
         contract, which was set to expire on October 31. These negotiations ultimately
         failed. On September 27, concerned about the effect that the expiration of the FSS
         contract would have on its BPA, Canon contacted the Army to determine whether
         any action was required to maintain its BPA as a viable ordering vehicle. In
         response, the Army's contract specialist advised Canon by email that [a]ccording to
         our contract.., the Term of the BPA is 5 years from date of award. This would
         make your BPA W911SE-04-A-0005 valid until 22 FEB 09 and any extension is

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