Banknote Corp. of America, Inc. v. United States

56 Fed. Cl. 377, 2003 U.S. Claims LEXIS 121, 2003 WL 21134433
CourtUnited States Court of Federal Claims
DecidedMay 9, 2003
DocketNos. 03-709C, 3-761C
StatusPublished
Cited by197 cases

This text of 56 Fed. Cl. 377 (Banknote Corp. of America, Inc. v. United 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.

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Banknote Corp. of America, Inc. v. United States, 56 Fed. Cl. 377, 2003 U.S. Claims LEXIS 121, 2003 WL 21134433 (uscfc 2003).

Opinion

OPINION

ALLEGRA, Judge.

This post-award bid protest action is before the court on the parties’ cross-motions for judgment on the administrative record. Briefly, these consolidated cases are brought by plaintiffs, Banknote Corp of America Inc. (BCA) and Guilford Gravure, Inc. (Guilford), to challenge the March 21, 2003, decision by the U.S. Postal Service (the Postal Service) to award to other contractors three long-term task-order contracts for the production [380]*380of U.S. postage stamps pursuant to Solicitation No. 102590-02-A-0046. This procurement is referred to as “Multi-Print III” (MPIII) because it represents the third global competitive procurement conducted by the Postal Service for the production of U.S. postage stamps. The three challenged contract awards were made to Sennett Security Products, LLC (Sennett), Avery Dennison Corporation, Inc. (Avery) and Ashton-Potter (USA), Ltd (Ashton-Potter), each of whom has been granted intervenor status in these cases. BCA and Guilford seek various forms of declaratory and permanent injunctive relief.

BCA filed its complaint in this matter on April 4, 2003; Guilford filed its complaint on April 10, 2003, and the case were immediately consolidated. On April 14, 2003, this court denied plaintiffs’ application for a temporary restraining order. However, at the urging of all parties concerned and given the importance of the contracts at issue, the court agreed to expedite its ruling on permanent injunctive relief and, toward that end, adopted an aggressive briefing schedule under which the parties filed cross-motions for judgment on the administrative record and three sets of briefs between April 23, 2003, and May 1, 2003. On May 2, 2003, this court conducted oral argument on the cross-motions, at the conclusion of which, as previously promised to the parties, it rendered an oral ruling. That ruling denied plaintiffs’ motions for judgment on the administrative record and granted defendant’s cross-motion for such judgment, obliging this court further to conclude that granting the requested relief was inappropriate. While the court orally described the rationale for its ruling, it indicated that, notwithstanding an impending trial in New Orleans, Louisiana, it would endeavor to issue, by no later than May 9, 2003, a written ruling in this matter. This, of course, is that ruling.

We begin with common ground. In a bid protest case, this court will enjoin the government only where an agency’s actions were arbitrary, capricious, an abuse of discretion, or otherwise not in accordance with law. 5 U.S.C. § 706(2)(A) (1994). See also 28 U.S.C. § 1491(b)(4) (1994 & Supp. V 2000). By its very definition, this standard recognizes the possibility that there exists a zone of acceptable results in a particular case and requires only that the final decision reached by an agency be the result of a process which “consider[s] the relevant factors” and is “within the bounds of reasoned decisionmaking.” Baltimore Gas & Elec. Co. v. Natural Res. Def. Council, Inc., 462 U.S. 87, 105, 103 S.Ct. 2246, 76 L.Ed.2d 437 (1983). Accordingly, this court will interfere with the government procurement process “only in extremely limited circumstances.” CACI, Inc.-Federal v. United States, 719 F.2d 1567,1581 (Fed.Cir.1983) (quoting United States v. John C. Grimberg Co., 702 F.2d 1362, 1372 (Fed.Cir.1983)). Indeed, a protestor’s burden is particularly great in negotiated procurements because the contracting officer is entrusted with a relatively high degree of discretion, and greater still, where, as here, the procurement is a “best-value” procurement. See Mangi Envtl. Group, Inc. v. United States, 47 Fed.Cl. 10, 15 (2000); see also TRW, Inc. v. Unisys Corp., 98 F.3d 1325, 1327-28 (Fed.Cir.1996); LaBarge Prods., Inc. v. West, 46 F.3d 1547, 1555 (Fed. Cir.1995) (citing Burroughs Corp. v. United States, 223 Ct.Cl. 53, 617 F.2d 590, 597-98 (1980)).

It is the burden of the aggrieved offeror to demonstrate that the challenged agency decision is either irrational or involved a clear violation of applicable statutes and regulations. See Seattle Security Servs., Inc. v. United States, 45 Fed.Cl. 560, 566 (2000); Analytical & Research Tech., Inc. v. United States, 39 Fed.Cl. 34, 42 (1997); Aero Corp. v. United States, 38 Fed.Cl. 739, 749 (1997). Further, “to prevail in a protest the protestor must show not only a significant error in the procurement process, but also that the error prejudiced it.” Data General Corp. v. Johnson, 78 F.3d 1556, 1562 (Fed.Cir.1996). To demonstrate prejudice, “the protestor must show ‘that there was a substantial chance it would have received the contract award but for that error.’ ” Alfa Laval Separation, Inc. v. United States, 175 F.3d 1365, 1367 (Fed.Cir.1999) (quoting Statistica, Inc. v. Christopher, 102 F.3d 1577, 1582 (Fed.Cir. 1996)). Finally, because injunctive relief is so drastic in nature, a plaintiff must demon[381]*381strate that its right to such relief is clear. See Seattle Security Servs., Inc., 45 Fed.Cl. at 566; cf. Beta Analytics Int’l., Inc. v. United States, 44 Fed.Cl. 131,137 (1999).

Against this familiar legal backdrop, plaintiffs mount a seven-part challenge to the Postal Service’s award decision here. The court will discuss each theory for reversing the award decision seriatim, describing, as it goes, any facts necessary to the resolution of these matters.2

At the outset, BCA contends that the Postal Service’s evaluation of its proposal was irrational because it ignored critical information that BCA either provided in its various submissions or made available for the Postal Service’s review. In evaluating this issue, as well as certain others to be discussed hereinafter, this court is mindful that “[t]he determination of the relative merits of proposals is the responsibility of the procuring agency since it must bear the burden of any difficulties incurred by reason of a defective evaluation.” Biological Monitoring, Inc., 83-1 C.P.D. ¶ 395 at 2, 1983 WL 26711 (1983); see also Arctic Slope World Services, Inc., 2000 C.P.D. ¶ 75 at 4, 2000 WL 675594 (2000). In protests challenging an agency’s evaluations of an offeror’s technical proposal and past performance, review thus should be limited to determining whether the evaluation was reasonable, consistent with the stated evaluation criteria and complied with relevant statutory and regulatory requirements. See, e.g., Infrared Technologies Corp., 99-2 C.P.D.

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56 Fed. Cl. 377, 2003 U.S. Claims LEXIS 121, 2003 WL 21134433, Counsel Stack Legal Research, https://law.counselstack.com/opinion/banknote-corp-of-america-inc-v-united-states-uscfc-2003.