Overview
This section identifies 41 U.S.C. chapter 71 (the Disputes statute) as the legal framework for resolving government contract claims and highlights specific statutory mandates regarding interest, certification, and fraud prevention.
Key Rules
- Statutory Authority: All claims must be asserted and resolved according to the procedures and requirements established in the Disputes statute.
- Interest Payments: The government is legally required to pay interest on valid contractor claims.
- Claim Certification: Contractors are required to certify their claims, ensuring they are made in good faith and supported by accurate data.
- Fraud Penalties: The statute imposes civil penalties for any part of a claim that is determined to be fraudulent or based on a misrepresentation of fact.
Practical Implications
- Contractors must strictly adhere to formal certification procedures; failure to do so can result in the dismissal of a claim or exposure to significant civil liability if the claim is found to be misrepresented.
- The provision for interest payments helps mitigate the financial impact on contractors during the often lengthy administrative or legal process of resolving a dispute.