Avtel Services, Inc. v. Unites States

70 Fed. Cl. 173, 2005 U.S. Claims LEXIS 402
CourtUnited States Court of Federal Claims
DecidedDecember 22, 2005
DocketNos. 04-1574C, 05-582C
StatusPublished
Cited by21 cases

This text of 70 Fed. Cl. 173 (Avtel Services, Inc. v. Unites States) is published on Counsel Stack Legal Research, covering United States Court of Federal Claims primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Avtel Services, Inc. v. Unites States, 70 Fed. Cl. 173, 2005 U.S. Claims LEXIS 402 (uscfc 2005).

Opinion

OPINION

HORN, Judge.

FINDINGS OF FACT

The Army issued solicitation W58RGZ-04-R-0524 in May, 2004, seeking proposals to provide maintenance and logistical support for the United States Army’s nine De Havil-land DHC-7 (Dash 7) aircraft. Plaintiff Av-tel Services, Inc. has filed both pre- and post-award bid protests, on successive grounds, on the United States Army Aviation and Missile Command solicitation for aircraft maintenance services and logistical support. Plaintiff Avtel is the incumbent contractor on a contract issued in 1999 for similar maintenance support services on the same Dash 7 aircraft. Avtel believes that a competitor, King Aerospace, Inc., obtained Avtel’s competition sensitive and proprietary data, which provided King Aerospace with an unfair competitive advantage in the 2004 resolicitation of aircraft maintenance support services. Avtel raised its concerns in an agency-level protest to the Army’s contracting officer, who, in a September 29, 2004 agency response, concluded that the protest was untimely. The contracting officer also declined to disqualify King at that time, deferring the issue, but noting that the alleged information obtained from Avtel employees did not appear to be proprietary and that a 1999 Avtel Dash 7 proposal in King’s possession appeared to be obsolete, given the changes made to the 2004 Dash 7 solicitation. Subsequently, in a formal, December 8, 2004 opinion, the Army contracting officer denied Av-tel’s request to disqualify King, concluding, among other considerations, that the data in question was not competition sensitive or proprietary as claimed by Avtel. Avtel, for its part, characterizes this case as one involving “industrial espionage” on the part of [179]*179competitor King Aerospace. King Aerospace, the ultimately successful bidder, intervened in this bid protest action, and has provided the court with its views of the allegations. King essentially argues that the information at issue was volunteered by Av-tel employees, was not proprietary to Avtel, and was in the public domain.

As noted, the Army’s latest Dash 7 solicitation was issued in May, 2004. Prior to and after the solicitation was issued, King Aerospace employees communicated with Avtel employees who were working on the 1999 Dash 7 maintenance support services contract. The parties have stipulated that, on January 28, 2004, the founder and Chief Executive Officer (CEO) of King Aerospace, Jerry A. King, and King’s Controller, Keith Weaver, met with Donald N. Wilbanks, an Avtel employee at the time. Mr. Wilkins had signed a confidentiality agreement with Avtel prohibiting him from disclosing any Avtel proprietary or confidential data. In this regard, the parties have stipulated that Mr. King instructed Mr. Wilbanks “not to answer any questions that he [Mr. Wilbanks] felt uncomfortable with.” The record contains a little over eight pages of single-spaced, typed notes of the questions asked of Mr. Wil-banks, and of his responses, compiled by King employee Keith Weaver. The first page of Mr. Weaver’s notes stated that: “Don [Wilbanks] confirmed that there would be certain things he would not be at liberty to discuss as an employee of Avtel. He limited his answers for the questions below to topics he felt were fair to discuss.” Under the heading “Program,” in Mr. Weaver’s notes, were twenty-three questions and answers; under the heading “People,” were twelve questions and answers; under the heading “Deployment,” were five questions and answers; under the heading “Government/Army Information,” were six questions and answers; under the heading “Miscellaneous,” were five questions and answers; under the heading “Korea Site,” were nine questions and answers; and under the heading “Overall Synopsis,” were three questions and answers. King Aerospace’s notes concluded with eleven entries under the heading “Notes & Comments.”

The numerous questions asked by King Aerospace employees and answered by Mr. Wilbanks covered diverse areas, such as average flying hours; frequency of airplane painting and washing; staffing levels; government furnished equipment (GFE); the value of Avtel property not furnished by the government; whether any GFE tooling or equipment was lacking; government furnished vehicles; the role, location, and number of employees at the Avtel Program Office in Alabama; the difficulty in maintaining mission capable rates; identification of De-Havilland as a supplier; reported repair station violations; strengths and weaknesses of mission equipment contractors; Avtel’s engineering support; annual parts and equipment audit; insurance benefits; personnel turnover; wage levels and deployment pay differentials; current conditions of deployment; Army documentation required; recommendations of individuals who could assist King Aerospace with its proposal; Korea site information, including the Korea site manager, cost of living allowance, overtime policy, normal shift and duty times, and special equipment in Korea; and the name of an individual at Volvo Aerospace who could be contacted concerning parts. King Aerospace offered Mr. Wilbanks employment if King were to be awarded the Dash 7 contract. Mr. Wilbanks later declined the employment offer.

King Aerospace employees also met with Scott Garretson, a Dash 7 mechanic working for Avtel, on January 30, 2004. King Aerospace Controller Keith Weaver compiled notes of the meeting, which reflected that Mr. Garretson had indicated “there were areas that he would not be able to talk about as an Avtel employee.” Mr. Weaver’s notes indicate that the topics discussed with Mr. Garretson generally had to do with deployments: the difficulties in communicating with families when deployed, returning home from deployed locations for family emergency reasons, living conditions while deployed, relationships with others while deployed, work schedule, morale, dangers, compensation, and hiring new mechanics. Mr. Weaver’s notes indicate interest in employment on the part of Mr. Garretson, should King Aerospace win the contract.

[180]*180King Aerospace Business Development Officer Larry Breau also contacted Michael Barber, an Avtel employee, who was offered employment with King should King win the contract. The contacts occurred after Mr. Barber began working for Avtel in January, 2004, including communications in the late May and early June, 2004 time frame. According to an affidavit by Mr. Barber, contained in the record, the topics discussed by Mr. Breau and Mr. Barber included the number of Avtel employees working on the Dash 7 contract, the sources for Dash 7 parts, and any Avtel employees who might want to work for King, if King won the contract. Mr. Barber’s affidavit also indicates that he had cautioned Mr. Breau to be careful about the kinds of questions asked.

The record also reflects that King Aerospace Business Development Officer Breau was in contact with Avtel employee Isaiah House in the late May and early June, 2004 time frame. Mr. Breau inquired of Mr. House as to the employment interests of Avtel employees, in the event King won the contract, and also about deployment details. Mr. House was offered employment with King, should King win the contract. The parties have further stipulated to contacts between King personnel and Avtel employees Rex Burson, Lorrie Cortez, Judy Boutillette, Robbin Gibbs, Fred Metcalf, Brian James and John Karkkainen, concerning potential employment.

In addition to the above communications between King and Avtel employees concerning the current Dash 7 contract, King obtained a version of Avtel’s 1999 Dash 7 proposal from former Avtel owner Kent Lebo.

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Bluebook (online)
70 Fed. Cl. 173, 2005 U.S. Claims LEXIS 402, Counsel Stack Legal Research, https://law.counselstack.com/opinion/avtel-services-inc-v-unites-states-uscfc-2005.