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Contract Law

You have a firm fixed price contract to deliver 10,000 aluminum foil hats to Agent Mulder at the FBI. The contract is silent on the method of testing but requires the contractor to present a test and acceptance plan for approval. When you meet to present your test and acceptance plan, Agent Mulder tells you that every single hat must be tested in a microwave oven. Your understanding of accepted industry practice is that testing a one percent sample of the hats is sufficient. After discussions, Agent Mulder is still adamant that every hat must be tested. If you do this it will double your costs and delay deliveries.

What should your next step be, assuming that Agent Mulder is the program manager and not the contracting officer? After talking to Contracting Officer Scully, it appears that she agrees with Program Manager Mulder. Now what should you do? What steps might occur going forward assuming the problem is not resolved?

Operation Management, Management Studies

  • Category:- Operation Management
  • Reference No.:- M92560477

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