In an important decision that could have a profound effect on contractor litigation, the U.S. Court of Appeals for the Federal Circuit recently made a ruling that challenges long-standing precedents. The Federal Court stipulated that the “sum certain” requirement, which contractors must meet when claiming under the Contract Disputes Act (CDA), is not jurisdictional. This implies that failure to meet this requirement can no longer serve as grounds for dismissal late in the litigation process.
Prior to this ruling, it was understood that contractors were required to satisfy the “sum certain” requirement to properly invoke the tribunal’s jurisdiction. This new shift in judicial perspective is expected to have considerable repercussions, as it significantly alters the contractor litigation landscape.
This recent groundbreaking decision was made by a three-judge panel from the Federal Circuit, providing a fresh legal interpretation that challenges older convictions.
Contractors can breathe easier following this ruling, as they’re now partially shielded from sudden dismissal based on intricacies in the “sum certain” requirement. Moreover, it grants contractors the opportunity to amend their claims if a defect is identified, further shielding them from abrupt ends to their court cases.
The legal team from Pillsbury Winthrop Shaw Pittman LLP played an important role in the proceedings. The firm has previously represented many big-name corporations in various high-stakes litigations, offering them deep insight into what this recent rule might mean for contractor litigation.
For more thorough coverage of this ruling, visit JD Supra’s detailed article on the subject.