United States Federal Circuit

In an action seeking reimbursement for defense costs and settlement payments under the Federal Acquisition Regulations, Armed Services Board of Contract Appeals' grant of summary judgment in favor of defendant is reversed and remanded where: 1) the damages, costs, and attorney's fees associated with an adverse judgment in a Title VII sexual harassment suit would not be allowable under the contract as a contractor's violation of Title VII would breach the contract and costs related to such a breach are not allowable; and 2) the Board erred in refusing to apply the present court's decision in Boeing that defense and settlement costs are allowable only if defendant can show that the plaintiff in the Title VII suit had very little likelihood of success if the case went to final judgment.

Appellate Information

• Decided 05/19/2009
• Published 05/19/2009

Judges

Court

• United States Federal Circuit

Counsel