Federal Circuit Confirms that Government Has a Broad Duty of Good Faith and Fair Dealing and Declines to Shift Risk of Differing Site Conditions to Contractors
By Stuart B. Nibley and John P. Estep, K&L Gates, Washington D.C.
In what many will consider a victory for federal government contractors, the U.S. Court of Appeals for the Federal Circuit recently (i) clarified the standard for determining when there is a breach of the implied duty of good faith and fair dealing and (ii) held that certain contractual disclaimer language was insufficient to preclude a contractor from alleging a claim based on differing site conditions.