Coffee Connections, Inc. v. United States

113 Fed. Cl. 741, 2013 U.S. Claims LEXIS 1864, 2013 WL 6234583
CourtUnited States Court of Federal Claims
DecidedDecember 3, 2013
Docket11-48C
StatusPublished
Cited by4 cases

This text of 113 Fed. Cl. 741 (Coffee Connections, 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.

Bluebook
Coffee Connections, Inc. v. United States, 113 Fed. Cl. 741, 2013 U.S. Claims LEXIS 1864, 2013 WL 6234583 (uscfc 2013).

Opinion

*743 OPINION AND ORDER

SWEENEY, Judge

This case arises out of a concession contract between the Army and Air Force Exchange Service (“AAFES” or “defendant”) and Coffee Connections, Inc. (“plaintiff’) for the operation of a deli/snack bar, TJ’s Deli, at Fort Belvoir, Virginia. Plaintiffs amended complaint alleges breach of contract and seeks damages in the amount of $42,727 in termination-related costs and $8,500 for thirty-days lost profits. Defendant requests dismissal of plaintiffs amended complaint for lack of subject-matter jurisdiction pursuant to Rule 12(b)(1) of the Rules of the United States Court of Federal Claims (“RCFC”) or, alternatively, for summary judgment pursuant to RCFC 56. For the reasons set forth below, the court hereby denies defendant’s motion to dismiss and grants defendant’s motion for summary judgment.

FACTUAL BACKGROUND

A. The Contract

On December 16, 2008, the AAFES awarded Concession Contract BEL 08-142 (“contract”) to plaintiff for the operation of a deli/snack bar, TJ’s Deli, for a three-year term from January 15, 2009, to January 14, 2012, at Fort Belvoir, Virginia. 1 App. 203, 208. 2 Tommy Johnson, president of Coffee Connections and manager of TJ’s Deli, executed the contract on plaintiffs behalf.

The contract provided three ways for termination, only two of which are pertinent in this case. App. 212. First, the contract permitted an immediate termination of the contract by either party for breach. Id. Second, the contract allowed either party to terminate with a thirty-day written notice. Id. The contract also provided that any failure by the AAFES to enforce or require strict performance of the terms of the contract would not constitute a waiver of the relevant contract provision. App. 213.

The contract also contained a disputes clause, which provided in relevant part:

11. DISPUTES (FEB 95)
a. This contract is subject to the Contract Disputes Act of 1978, as amended (41 U.S.C. 601-613 3 ). Except as provided in the Act, all disputes arising under or relating to this contract shall be resolved under this clause.
b. “Claim” as used in this clause means a written demand or written assertion by one of the contracting parties seeking the payment of money in a sum certain or other relief arising under or relating to this contract. A voucher, invoice or other routine request for payment that is not in dispute when submitted is not a claim under the Contract Disputes Act.
c. A claim by the contractor shall be made in writing and submitted to the contracting officer for a written decision. A claim by AAFES against the contractor shall be made by a written decision by the contracting officer.
f. The contracting officer will mail or otherwise furnish a written decision in response to a contractor claim, within the time periods specified by law. Such decision will be final and conclusive unless:
(1) Within 90 days from the date of contractor’s receipt of the final decision the contractor appeals the decision to the Armed Services Board of Contract appeals (ASBCA), or
(2) Within 12 months from the date of contractor’s receipt of the final decision the contractor brings an action in *744 the United States Court of Federal Claims.

App. 212-13.

In addition, the concession contract contained performance provisions governing, among other things, food safety, health, hygiene, sanitation, and routine inspections. App. 204, 227-29, 244, 251-52. For instance, the concession contract provided that the “[cjoncessionaire will keep the premises clean, orderly, secure, and sanitary” and “comply with the installation/exchange fire, safety and security regulations and applicable health and sanitation and environmental protection regulations.” App. 228. The contract required “[flood sales areas [to] comply with military public health and sanitation criteria to include cleanliness of equipment, utensils, display areas, adequate refrigeration for perishable foods and proper time and dating of food stuffs, according to TB MED 530 and AFI 48-116.” App. 251. Sales areas would also be “subject to routine and special medical inspections without notice.” Id. Further, all items for sale were required to “comply with shelf life limitations determined by the base/post veterinarian.” Id. Food service sanitation training was also required by the contract. App. 252.

The concessionaire, manager, and employees operating a food service facility were all required to meet the training requirements. Id. Additionally, the contract provided that the employees were required to wear clean uniforms, maintain a high degree of personal cleanliness, and conform to hygienic practices. Id. Services were to be provided “equal to those provided by first quality commercial establishments.” App. 230.

In order to comply with the regulations, the contract required plaintiff “to present a copy of [the] contract in person to the installation Preventative Medicine Officer/NCOIC in order that Public Health standards and practices can be explained and reference obtained.” App. 252. At the time the contract was executed, Preventative Medicine Officers were part of a section called Preventative Medicine Activity (“MEDDAC”), within the United States Army Medical Department Activity. These individuals were responsible for conducting Routine Food Establishment Inspections and Preventative Medicine Assistance Visits to ensure compliance with Technical Bulletin MED 530 (“TB MED 530”), Occupational and Environmental Health Food Sanitation (Oct. 30, 2002). App. 1-200; Deck of Maria Gamble; Deck of James Johnson.

As noted above, the contract required compliance with TB MED 530, App. 25-190, as well as other military public health and sanitation criteria. Indeed, Exhibit H to the concession contract specifically references TB MED 530. App. 251. The purpose of TB MED 530 is to safeguard public health and ensure that food is safe, unadulterated, and honestly presented when offered to the consumer and it “applies to all FOOD ESTABLISHMENT operations within the U.S. Army and areas under its control, including ... AAFES____” App. 36, 48. It was implemented in 1997 at the direction of the President of the United States as an initiative to “reduce the number of foodborne illnesses.” App. 36. The intent of TB MED 530 “is to place primary emphasis on the food and the food employees handling the food without neglecting or compromising the need for a strong sanitation program.” The focus of TB MED 530 “is to understand the causes of foodborne illnesses, by obseiving food preparation and handling practices, and to implement controls----” App. 36.

B. Inspections

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Cite This Page — Counsel Stack

Bluebook (online)
113 Fed. Cl. 741, 2013 U.S. Claims LEXIS 1864, 2013 WL 6234583, Counsel Stack Legal Research, https://law.counselstack.com/opinion/coffee-connections-inc-v-united-states-uscfc-2013.