Damage claims involving government contractors require the use of financial experts with specialized knowledge and experience working with clients and their counsel and assisting the trier of fact. Vallit has experience collaborating with all parties in government contract-related litigation matters as well as professionals that are knowledgeable in government contracting accounting, terminology, and the analysis of contract awards. Vallit has been involved in matters in U.S. federal, and state courts, international courts, and the Armed Services Board of Contract Appeals. Government contract litigation matters are often contentious and Vallit has the ability to work with their client and the client’s counsel throughout the discovery process as either an expert witness or an expert consultant.

Many of Vallit’s expert opinions in these matters relate to breach of contract, business interruption, delay claims and defect claims. Our engagements in the government contracting space, have included working with prime and subcontractors, veteran, minority, and women-owned businesses, 8(a) designated companies, and sole source providers on both the state and federal levels. It is also common for Vallit’s experts to be sought out and engaged to provide rebuttal opinions to opposing expert reports.

Contract Interruption & Delays

Delays and interruptions due to scheduling issues, problematic site conditions, or change orders commonly occur and are often the source of disputes. Vallit has the technical and analytical expertise to assist counsel in determining quantum damages resulting from the interruption. Quantum damages may take the form of lost profits, reimbursed overhead costs, or liquidated damages. To the extent lost profits are appropriate, Vallit analyzes the available information to determine the lost revenues, profits and out-of-pocket expenses associated with contract delays and interruptions. In the event consequential damages are appropriate, Vallit can evaluate and quantify the consequential damages amount.  Regardless of what the case involves, Vallit has the ideal mix of experience and financial expertise to assist clients with their claims.

Determination of Lost Value

While interruptions and delays address a loss over a limited timeframe, the concept of lost value is used when a company is permanently impaired due to the alleged actions of some other party. This can take the form of a partial impairment where the company continues to operate (slow death concept) or a full shutdown where no value remains. Whether the cause be a breach of contract, defamation, or some other type of injury, the impaired party must be able to show that its loss was permanent and that there is a corresponding reduction in value. Determining the value before and after the damaging event can be challenging and often times depends upon the documentation available. Vallit’s experts can assist counsel in determining which documents should be requested as part of the claim. We have provided affirmative and rebuttal opinions in government contract-related loss in value claims on numerous occasions. In addition, Vallit can assist counsel in determining whether the damage is permanent and whether lost value damage theory is proper approach in a particular case.