Government Contract Cure Notice: D.C. Legal Expertise for Small Businesses
The Whay Law Firm, located in Washington, D.C., is a government contract law office, with extensive experience representing small- and medium-sized government contractors in disputes and claims with the government. Businesses require expert legal counsel to help them understand the unique laws and regulations governing federal government contracts. The firm’s sole focus is government contracts, so it has extensive experience handling the full array of issues faced by companies doing business with the federal government, including assisting clients who have received a cure notice.
Detailed Explanation of a Government Contract Cure Notice
When a business enters into a procurement contract with the federal government, the complex terms of the contract include a clause that allows the government to terminate the contract “for default”, which means that the contractor has defaulted on the terms of the contract. A termination for default has serious consequences for the contractor, including unexpected expenses and a loss of revenue. The default remains on the contractor’s past performance record, seriously damaging his reputation and harming his ability to compete in future bids. The Contracting Officer will issue a “Cure Notice” if the contractor fails to make progress or fails to perform any other provision of the contract. The cure notice must be in writing and specifically state what failure exists and provide 10 days to ‘cure’ the failure.
Avoid Mistakes When Responding to a Cure Notice
Cure notices are issued by a contracting officer when the contractor is believed to be in breach of the terms of its government contract. Generally, cure notices require the contractor to respond within 10 days regarding how the breach will be corrected. Failure to appropriately address the contracting officer’s concerns may result in a termination for default, which likely will impact your ability to obtain new contracts.
Although you may believe you are not at fault, your response should maintain a professional tone, avoiding accusatory language, and acknowledging the contracting officer’s concern. In your response, you should set forth the facts as you understand them, identify what steps you will take to correct the issue, and include legal citations to support position.
Seeking the advice of a lawyer with specialized knowledge in government contracts is important at this stage. Your goal should be to avoid a termination for default or cause. The Whay Law Firm can assess the specific details of the cure notice and recommend an appropriate response.
With a strong legal defense, you will maximize your chance of success at avoiding a termination, or if there is a termination, placing your company in the best position to fight the termination.
Contact the Whay Law Firm in Washington D.C.
Your reputation deserves the best legal advice. A legally sound and timely response to the contracting officer’s notice is imperative. If you have received a show cause or cure notice, contact the Whay Law Firm immediately. We will help you understand the government’s action and determine your next steps. Our full-service government contracts law firm is dedicated to providing outstanding legal service to government contractors. Our offices are located in close proximity to Federal offices, including the SBA, the COFC and the GAO.
