The federal government recently suffered two potentially multibillion-dollar blows in long-running breach-of-contract litigation involving oil leases and spent nuclear fuel, and it faces a third area of possible liability. In the oil lease case, the Federal Circuit affirmed a $1 billion damages award, which may be the largest single award in the court's 150-year history. The potential new wave of suits is based on termination of bid-awarded contracts to 325 medical suppliers under federal Medicare law.
Breach Cases Could Cost U.S. Government Billions
The National Law Journal
September 8, 2008