§2405. Limitation on adjustment of shipbuilding contracts

(a) The Secretary of a military department may not adjust any price under a shipbuilding contract for an amount set forth in a claim, request for equitable adjustment, or demand for payment under the contract (or incurred due to the preparation, submission, or adjudication of any such claim, request, or demand) arising out of events that-

(1) in the case of a contract entered into after December 7, 1983, and before the date of the enactment of the Federal Acquisition Streamlining Act of 1994, occurred more than 18 months before the submission of the claim, request, or demand; and

(2) in the case of a contract entered into on or after the date of the enactment of the Federal Acquisition Streamlining Act of 1994, occurred more than 6 years before the submission of the claim, request, or demand.

(b) For the purposes of subsection (a), a claim, request, or demand shall be considered to have been submitted only when the contractor has provided the certification required by section 6(c)(1) of the Contract Disputes Act of 1978 (41 U.S.C. 605(c)(1)) and the supporting data for the claim, request, or demand.

(c)(1) If a certification referred to in subsection (b) with respect to a shipbuilding contract is determined to be deficient because of the position, status, or scope of authority of the person executing the certification, the contractor may resubmit the certification. The resubmitted certification shall be based on the knowledge of the contractor and the supporting data that existed when the original certification was submitted. The appropriateness of the person executing the resubmitted certification shall be determined on the basis of applicable law in effect at the time of the resubmission.

(2) If a certification is resubmitted pursuant to paragraph (1) by the date described in paragraph (3), the resubmitted certification shall be deemed to have been submitted for purposes of this section at the time the original certification was submitted.

(3) The date by which a certification may be resubmitted for purposes of paragraph (2) is the date which is the later of-

(A) 90 days after the promulgation of regulations under section 2410e(a) ¹ of this title; or

(B) 30 days after the date which is the earlier of the date on which-

(i) the contractor is notified in writing, by an individual designated to make such notification by the Secretary of Defense, of the deficiency in the previously submitted claim, request, or demand;

(ii) a board of contract appeals issues a decision determining the previously submitted claim, request, or demand to be deficient; or

(iii) a Federal court renders a judgment determining the previously submitted claim, request, or demand to be deficient.

(4) This subsection applies only with respect to a claim, request, or demand submitted before the effective date of this paragraph.

(Added Pub. L. 98–525, title XII, §1234(a), Oct. 19, 1984, 98 Stat. 2604 ; amended Pub. L. 102–484, div. A, title VIII, §813(c), Oct. 23, 1992, 106 Stat. 2453 ; Pub. L. 103–355, title II, §2302(a), (b), Oct. 13, 1994, 108 Stat. 3321 .)

References in Text

The date of the enactment of the Federal Acquisition Streamlining Act of 1994, referred to in subsec. (a), is the date of enactment of Pub. L. 103–355, which was approved Oct. 13, 1994.

Section 2410e(a) of this title, referred to in subsec. (c)(3)(A), was repealed by Pub. L. 103–355, title II, §2301(b), Oct. 13, 1994, 108 Stat. 3321 .

For the effective date of this paragraph, referred to in subsec. (c)(4), see section 10001 of Pub. L. 103–355, set out as an Effective Date of 1994 Amendment note under section 251 of Title 41, Public Contracts.

Prior Provisions

Provisions similar to those comprising this section were contained in Pub. L. 98–473, title I, §101(h) [title VIII, §8078], Oct. 12, 1984, 98 Stat. 1904 , 1938, and Pub. L. 98–212, title VII, §787, Dec. 8, 1983, 97 Stat. 1453 , which were set out as a note under section 2304 of this title. Section 101(h) [title VIII, §8078] of Pub. L. 98–473 was repealed by Pub. L. 100–370, §1(p)(2), July 19, 1988, 102 Stat. 851 . Section 787 of Pub. L. 98–212 was repealed by Pub. L. 98–525, §1234(b)(2), eff. Oct. 19, 1984.

Amendments

1994-Subsec. (a). Pub. L. 103–355, §2302(a), struck out "entered into after December 7, 1983," after "shipbuilding contract" and substituted "that-" and pars. (1) and (2) for "occurring more than 18 months before the submission of the claim, request, or demand."

Subsec. (c)(4). Pub. L. 103–355, §2302(b), added par. (4).

1992-Subsec. (c). Pub. L. 102–484 added subsec. (c).

Effective Date of 1994 Amendment

Section 2302(c) of Pub. L. 103–355 provided that: "Paragraphs (1) and (2) of section 2405(a) of title 10, United States Code, as added by subsection (a)(2), shall apply according to the provisions thereof on and after the date of the enactment of this Act [Oct. 13, 1994], notwithstanding section 10001(b) [set out as a note under section 251 of Title 41, Public Contracts]."

For effective date and applicability of amendment by section 2302(a)(1), (b) of Pub. L. 103–355, see section 10001 of Pub. L. 103–355, set out as a note under section 251 of Title 41.

¹ See References in Text note below.