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B-183247 1 (1975-08-19)

handle is hein.gao/gaobadcoa0001 and id is 1 raw text is: 



                             THE   CDMPTROLLER GENERAL
DECISION                   . OF   THE    UNITED       STATES
                             VVASHINGTON, D         C.  2O548




FILE:   B-183247                    DATE:   August 19, 1975

MATTER OF: International Explosive Services, Inc.


DIGEST:

     Decision by United States Government, acting in its sovereign
     capacity, to rehabilitate Suez Canal is not a taking of a
     valuable contractual right requiring compensation, as claimant
     had only anticipated contract for services, loss of which is
     not responsibility of United States Government. Moreover,
     submission of unsolicited proposal makes claimant a pure
     volunteer, affording no basis upon which payment may be
     authorized.


     This decision is in response to a further request by Inter-
national Explosive Services, Inc. (IES), for reconsideration of
claim No. Z-2563200 in the amount of $53,9.28.77 plus late charges
for expenses allegedly incurred in connection with a proposed
project for the reconstruction of the Suez Canal.

     IES initially based its claim on the fact that it attempted
to secure participation as a private contractor in the rehabilita-
tion and reconstruction project, but was precluded from entering
into commercial arrangements with the Government of Egypt when
the United States Government decided to perform these functions
at United States' expense. The Transportation and Claims Division
of our Office disallowed the claim on the ground that there was no
legal basis for United States liability.

     By letter of February 3, 1975, IES stated that it was in
accord with the United States Government's policy of providing
the service to Egypt and it indicated that its claim was based
on the fact that the work was given to Murphy Pacific Marine
Salvage Co. (Murphy) by the United States without IES being pro-
vided an opportunity to bid. However, by decision B-183247, May 13,
1975, our Office was of the position that since the United States
had an existing term contract (NO0024-71-C-0234) with Murphy for
the services contemplated in the Suez Canal, competitive bidding
on the Suez Canal project was unnecessary. On this basis the
denial of the claim by the Transportation and Claims Division was
sustained.

     However, by letter dated July 22, 1975, IES has requested
further reconsideration of its claim on the following basis:


                                                   PUBL1ISHED DYC;S1ON
                                                   55 Comp,   ..

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