CFCM Dispute Resolution 4 — Questions and Answers
Question 1: Under FAR 33.211, if a contracting officer issues a final decision on a claim over $100,000, the decision must be issued within how many days of receiving the claim?
- 30 days
- 60 days with notification of anticipated decision date required for complex claims (Correct answer)
- 90 days
- 120 days
Correct answer: 60 days with notification of anticipated decision date required for complex claims
For claims over $100,000, the CO must issue a final decision within 60 days or notify the contractor of the anticipated decision date.
Question 2: Which BCA has jurisdiction over disputes arising from contracts with civilian agencies other than those with their own boards?
- Armed Services Board of Contract Appeals (ASBCA)
- Civilian Board of Contract Appeals (CBCA) (Correct answer)
- Postal Service Board of Contract Appeals
- Government Accountability Office
Correct answer: Civilian Board of Contract Appeals (CBCA)
The CBCA consolidated most civilian agency BCAs and has jurisdiction over disputes from many federal civilian agencies.
Question 3: What is 'accord and satisfaction' in the context of federal contract disputes?
- A government audit confirming contract performance
- A settlement where both parties agree to accept something different from the original contract obligation (Correct answer)
- The CO's final decision that satisfies the contractor's claim
- An ADR process supervised by the agency's inspector general
Correct answer: A settlement where both parties agree to accept something different from the original contract obligation
Accord and satisfaction occurs when parties mutually agree to settle a disputed obligation, typically for a lesser amount, extinguishing the original claim.
Question 4: A contractor submits a fraudulent claim under the False Claims Act. What is the potential civil penalty per false claim?
- Up to $5,000
- Up to $11,000 to $23,331 (inflation-adjusted) (Correct answer)
- Up to $50,000
- Up to $100,000
Correct answer: Up to $11,000 to $23,331 (inflation-adjusted)
The False Claims Act imposes civil penalties per false claim (inflation-adjusted) plus treble damages on top of the fraudulent amount.
Question 5: During an ASBCA hearing, what standard of review does the Board apply to the contracting officer's final decision?
- De novo — the Board reviews the matter fresh without deference to the CO's decision (Correct answer)
- Substantial evidence — upholding the CO unless clearly erroneous
- Arbitrary and capricious — same as APA administrative review
- Abuse of discretion — deferring to the CO on factual matters only
Correct answer: De novo — the Board reviews the matter fresh without deference to the CO's decision
BCAs conduct de novo reviews, meaning they examine the facts and law independently without deferring to the CO's findings.
Question 6: Which of the following ADR techniques results in a binding decision imposed by a neutral third party?
- Mediation
- Facilitation
- Arbitration (Correct answer)
- Mini-trial
Correct answer: Arbitration
Arbitration produces a binding award by a neutral arbitrator or panel, unlike mediation or mini-trials which result in voluntary settlements.
Question 7: What document formally initiates the CDA dispute process and triggers the CO's obligation to issue a final decision?
- A contractor's invoice
- A written claim submitted to the contracting officer (Correct answer)
- A notice of intent to file suit in the Court of Federal Claims
- A cure notice issued by the CO
Correct answer: A written claim submitted to the contracting officer
A written claim submitted to the CO is the formal triggering event that starts the CDA process and the CO's obligation to respond.
CFCM Dispute Resolution 4
Under FAR 33.211, if a contracting officer issues a final decision on a claim over $100,000, the decision must be issued within how many days of receiving the claim?