What Is The Difference Between A Protest vs A Dispute?
A protest involves a defective bid or the awarding of a contract to a different bidder. In contrast, a dispute involves an issue with the contracting officer that arises after you have been awarded the government contract.
The following are the three Federal Bid protest Levels:
- Judicial action was brought at the United States Court of Federal Claims (COFC).
- Protest filed with the (GAO) Government Accountability Office.
- Agency-Level protest filed with the agency conducting the procurement.
It is important to note that a protest must be filed within 10 days after the basis of the protest is known or should be known. Any protests that exceed this 10-day limit will automatically be thrown out. If you want to go forward you will have to go to a higher level like the United States Court of Federal Claims.
Protesting A Bid Or Award
You must be an interested party, which means a prospective bidder who will be affected by the award economically. This usually means that you will receive the award if your protests are sustained.
One such challenge would be that the bid was defective. A defective bid can include the following:
- The omission of a required provision
- The ambiguity of Important facts
- Indefinite evaluation factors.
The termination of a contract may also be protested if the protest alleges that the termination was based on improprieties in the award of the contract. This means that you can protest the bid, award, or termination of the contract. Make sure that you are very aware of the deadlines set for a protest.
Decision To Protest
If you do decide to protest, it is in your best interest to call counsel as soon as possible. Contract law can be very complicated and it would be a very good idea to consult with your legal counsel.
If you do decide to protest, you have avenues that can guide you through the process. You can go to your local PTAC to get started in the process and/or seek legal counsel. You also should familiarize yourself with Part 33.1 of the FAR. This will help you understand the requirements and your rights.
Disputes
A dispute is when a government contractor has issues or material disagreements that relate to the contract itself and therefore files a claim.
A claim is defined as a demand by one of the contracting parties seeking, as a matter of right, the payment of money; the adjustment or interpretation of contract terms, including the time of performance. This also includes other relief that arises under or relating to the contract.”
Disputes Are Only For The Contractor
Only a contractor is allowed to file a dispute claim. This means that subcontractors can not enter into the federal dispute process. This is because the contractor is an original party to the contract.
Typical Contractor Disputes
Some common contractor disputes are as follows:
- Defective specifications
- Changing delivery dates
- Failure of the government to supply a contractor with what he/she needs to properly fulfill the requirements of the contract
- Any other “event” that would keep a contractor from completing the contract or from being able to perform the contract.
The dispute is triggered when one of these events occurs and all informal attempts to resolve the issue fail.
Procedures for Disputes
For a dispute, a contractor is required to submit the claim in writing to the contracting officer.
The contractor should describe the following in the claim:
- Situation
- State
- What action the claim is asking for
- Request a final decision.
The contracting officer will have 60 days to respond after receiving the written notice. If the contractor has not heard from the contracting officer in this period then the request is considered denied.
Procedures Of Protest
The government wants to ensure that public funds are utilized fairly. This means that protests to solicitations will be handled as quickly and efficiently as possible. So the government encourages all parties to resolve issues with contracting officers of the agency with open discussion. The agency is also encouraged to resolve these matters fairly and efficiently.
What Of The Timing Of The Protest In The Contracting Process?
A protest received before the award of the contract means that the contract will not be awarded until there is a decision on the protest. This is bypassed if the items or services of the contract are urgently needed and delay of performance will cause unneeded harm.
If the protest is received within 10 days of the award of the contract then the performance of the contract will be suspended until the protest is resolved. It is on the contracting officer to notify all the other eligible parties that will be affected by this suspension of performance due to the protest.
If a protest is received 10 days after the contract is awarded, the agency procedures will determine the handling of the protest. The contract performance might not be suspended or terminated in these cases unless it is likely that the award will be invalidated and the delay will not be prejudicial to the government’s interest.
Any Questions?
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How Do You Get Started Working With The Government?
SAM stands for System Award Management.
To do any business with the federal government, you must register your business in the System for Award Management. The government will not hire any type of business that has not registered in the SAM directory.
Please read one of the helpful blog articles on our site like Everything You Need to Know About SAM for Small Businesses. These blogs will help give you all the information you need to understand how we can help make the process very easy for you. Sam Directory will happily guide you through this often confusing process. With our help, you will be able to be on the path to government subcontracting quickly and efficiently.
We have an article on our site, Everything You Need to Know About SAM for Small Businesses, that gives you important information about this process.