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B-182437 1 (1975-10-09)

handle is hein.gao/gaobadcuv0001 and id is 1 raw text is: 


                             aTHE COMPTROLLER GENERAL
DECISION                   . OF   THE    UNITED      STATES
                             WASHINGTON. D.C. 20548




FILE:   B-182437                    DATE:   October 9, 1975

MATTER OF:      Monitor Products Company, Inc.             c37


DIGEST:


         Although claimant contends that contracting agency's
     project engineer induced it to complete another party's
     contract by promising claimant that it would be reim-
     bursed, no basis for payment to claimant exists since
     project engineer's actions were unauthorized and record
     does not indicate that any official of agency having
     contracting authority agreed to reimburse claimant for
     work performed.


     By letter of May 21, 1975, Monitor Products Company, Inc.
(Monitor) has requested a reconsideration of our decision in the
matter of Monitor Products Company, Inc., B-182437, March 12,
1975, in which we denied its claim for the additional costs it
experienced in fulfilling a United States Navy contract which
had been awarded to Arvin Industries, Inc. (Arvin). Monitor
contends that our March 12 decision was  * * * improper and did
not take into account the overall contractual commitment made by
a representative and Project Engineer of the Navy upon which its
claim was based.

     On February 15, 1973, a fixed-price Navy contract No. NOO-123-
73-C-1575 was awarded by the Naval Regional Procurement Office,
Long Beach, California to Arvin for the furnishing of crystal
oscillators.  Monitor Products acquired a division of Arvin in
December 1973, and one of the stipulations in the acquisition was
that Monitor would not be responsible for completion of the con-
tract under consideration here. In January of 1974 the Administra-
tive Contracting Officer communicated with Arvin with respect to
the sale of part of its assets to Monitor and requested Arvin
to submit certain documentation if Arvin requests theGovernment
to recognize Monitor Products Company as a successor in interest
to subject contract /in which event/ a novation agreement must
be executed.  By letter dated January 15, 1974, Arvin informed
the Administrative Contracting Officer that the required informa-
tion had been requested from Monitor. Monitor notified the Navy


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