Summit Contractors, Inc. v. United States

36 Cont. Cas. Fed. 75,977, 22 Cl. Ct. 54, 1990 U.S. Claims LEXIS 443, 1990 WL 178774
CourtUnited States Court of Claims
DecidedNovember 16, 1990
DocketNo. 180-85C
StatusPublished
Cited by10 cases

This text of 36 Cont. Cas. Fed. 75,977 (Summit Contractors, Inc. v. United States) is published on Counsel Stack Legal Research, covering United States Court of Claims primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Summit Contractors, Inc. v. United States, 36 Cont. Cas. Fed. 75,977, 22 Cl. Ct. 54, 1990 U.S. Claims LEXIS 443, 1990 WL 178774 (cc 1990).

Opinion

OPINION

FUTEY, Judge.

This government contract case is before the court on “Defendant’s Motion to Dismiss Plaintiff’s Second and Third Claims, or in the Alternative, Motion for Partial Summary Judgment.” Plaintiff, Summit Contractors (Summit), filed a three count complaint with this court, contesting the final decision of a contracting officer (CO) that plaintiff was not entitled to a contract extension and that defendant did not “wrongfully appropriate” timber cut, but not removed, from the timber sale area. Defendant, the Forest Service, United States Department of Agriculture (Forest Service), asserts that the second count of plaintiff’s complaint is a claim sounding in tort, rather than contract, over which the court lacks subject matter jurisdiction pursuant to the Tucker Act, 28 U.S.C. [55]*55§ 1491(a)(1) (1988). Defendant also contends that plaintiff’s failure to exhaust administrative remedies on the third count of the complaint precludes judicial review of that claim by the court. For the reasons discussed hereinafter, defendant’s motion for partial summary judgment on plaintiff’s second claim is granted and defendant’s motion to dismiss plaintiff’s third claim for lack of subject matter jurisdiction is granted.

Factual Background

This case has been the subject of a prior opinion. In Summit Contractors v. United States, 15 Cl.Ct. 806 (1988), the court denied defendant’s motion to dismiss plaintiff’s complaint for lack of jurisdiction under § 10(a)(3) of the Contract Disputes Act of 1978, 41 U.S.C. §§ 601-613 (1988). The court concluded that plaintiff had timely appealed the contracting officer’s final decision. A full statement of facts can be gleaned from a reading of this opinion. Consequently, the facts will be supplemented here only where appropriate.

Summit was awarded a timber sale contract by the Forest Service on July 16, 1980. Under the terms of the contract, Summit was required to cut, remove, and purchase certain amounts of timber from the La Porte Ranger District in the Plumas National Forest by March 31, 1981. The contract contained a provision whereby the period of the contract could be extended if Summit logged and removed 75 percent of the estimated contract volume (A2 volume) before the termination date.

Summit requested a contract extension by letter of December 17,1980. Defendant refused to grant plaintiff a contract extension because the 75 percent requirement had not been met.1 Summit thereupon ceased harvesting operations and the Forest Service declared plaintiff in default. The Forest Service resold the remaining timber volume under the contract, including the timber which had been felled (cut) and decked (stacked in an orderly fashion) by Summit. On April 7, 1983, the Forest Service assessed damages against Summit in the amount of $24,259.07, for it’s failure to complete the contract by the termination date.

Plaintiff responded to the Forest Service claim by letter of April 14, 1983. Summit denied liability and asserted a counterclaim against the Forest Service for not granting an extension as provided in the contract and for conversion of felled timber. The CO denied Summit’s claim as untimely on March 2,1984. Upon Summit's request for reconsideration, the CO affirmed the previous decision, but denied Summit’s claim for conversion upon the alternative ground that title to the felled and decked timber never passed from defendant to plaintiff.

Following the CO’s issuance of a final decision, Congress enacted the Federal Timber Contract Payment Modification Act (FTCPMA), 16 U.S.C. § 618 et seq. (1985). The FTCPMA authorized the Secretary of Agriculture to release qualified purchasers from a portion of their timber sales contracts upon payment of a buy-out charge. Purchasers requesting a timber sale buyout were required to submit applications by September 25, 1985. 36 C.F.R. § 223.171 (1988). Upon receipt of a buy-out application, the Forest Service determined whether the listed contracts) qualified for a buyout, the volume to be bought out, and the conditions, if any, to be fulfilled by the purchaser prior to the buy-out. 36 C.F.R. § 223.172(b).

Summit filed a complaint in this court on April 5,1985, appealing the CO’s final decision. Plaintiff’s complaint is comprised of three claims. In the first claim of relief, Summit contends that the Forest Service “interfered with and frustrated plaintiff’s ability to remove [the] timber in that it simultaneously contracted with a third party to perform work on access roads to the sale area.” Summit avers in its second [56]*56claim that the Forest Service “wrongfully appropriated the timber which plaintiff had cut and sold said timber to a third party.” In its third claim, plaintiff alternatively argues that if Summit had in fact defaulted on the contract, the “contracting officer’s damages assessment was erroneous because the contract was and is subject to the Federal Timber [Contract] Modification Act of October 16, 1984.”

On October 6, 1989, defendant filed an answer to plaintiff’s complaint and asserted a counterclaim for damages incurred due to Summit’s failure to complete the contract. Defendant additionally filed a motion to notify third party surety, American Motorist Insurance Company, of the pending action. Upon the court’s order, defendant notified third party surety on October 16, 1989. To date, American Motorist Insurance Company has failed to respond to this notice. On November 15, 1989, the court entered an order of default against Summit for failing to respond to defendant’s counterclaim. Upon plaintiff’s motion, the order was set aside and plaintiff’s answer to defendant’s counterclaim was filed on November 28, 1989.

Summit filed a request with the Forest Service for a buy-out of the contract on September 25, 1985. The court suspended proceedings in this case pending Forest Service consideration of Summit’s buy-out application. The Forest Service approved Summit’s application on February 14, 1986, and enclosed a revised bill of $4,760.00, representing the buy-out charge for the contract. Summit failed to tender payment to “buy-out” the contract and on July 2, 1986, the Forest Service notified Summit that the contract was rejected from the buy-out program pursuant to 36 C.F.R. § 223.178.

Defendant filed a motion to dismiss on grounds that plaintiff’s claim was filed with the court outside the 12-month period of appeal from an adverse final decision of the CO. The court denied defendant's motion on November 28, 1988. Summit Contractors, supra. On April 5, 1990, defendant moved this court to dismiss plaintiff’s second and third claims for lack of subject matter jurisdiction, or alternatively, for partial summary judgment on these claims. On April 30, 1990, the court allowed plaintiff an additional 60 days to respond to defendant’s motion. Despite this extension, plaintiff has failed to respond to defendant’s motion.

Discussion

A. Jurisdiction Over Plaintiffs Second Claim

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Solaria Corporation v. United States
123 Fed. Cl. 105 (Federal Claims, 2015)
Detroit Housing Corp. v. United States
55 Fed. Cl. 410 (Federal Claims, 2003)
Precision Pine & Timber, Inc. v. United States
50 Fed. Cl. 35 (Federal Claims, 2001)
Schweiger Construction Co. v. United States
49 Fed. Cl. 188 (Federal Claims, 2001)
D.F.K. Enterprises, Inc. v. United States
45 Fed. Cl. 280 (Federal Claims, 1999)
Morris v. United States
40 Cont. Cas. Fed. 76,832 (Federal Claims, 1995)
Reforestacion de Sarapiqui v. United States
26 Cl. Ct. 177 (Court of Claims, 1992)
C.B.C. Enterprises, Inc. v. United States
24 Cl. Ct. 1 (Court of Claims, 1991)
Summit Contractors, Inc. v. United States
37 Cont. Cas. Fed. 76,132 (Court of Claims, 1991)

Cite This Page — Counsel Stack

Bluebook (online)
36 Cont. Cas. Fed. 75,977, 22 Cl. Ct. 54, 1990 U.S. Claims LEXIS 443, 1990 WL 178774, Counsel Stack Legal Research, https://law.counselstack.com/opinion/summit-contractors-inc-v-united-states-cc-1990.