Equitable Adjustments and Claims

equity1What happens when the Government does not agree with a Contractor’s request for additional costs incurred during the performance of a Federal contract? If the additional costs are a result of the government’s actions, the government provides the contractor the right to file a Claim to recover the costs and/or modify the schedule whenever a change occurs that increases the cost of contract performance or impacts contract deliveries or completion.

Claims arise for a number of reasons, including changes to the scope of work, unforeseen site conditions, delays caused by the government, or termination by the Government.

If you would like more information on REAs and Claims, please see the article below.