Variance in Estimated Quantity Clause

Thermocor, Inc. v. United States,
1996 U.S. Claims LEXIS 68 (Cl. Ct. 1996).
On October 16, 1989, the United States Army Corps of Engineers (“Corps”) awarded ThermoCor, Inc. (“ThermoCor”) a contract in the amount of $15,500,000 to excavate and treat soils contaminated with polychlorinated biphenyls (“PCB’s”) in Erie County, New York. In part, the contract provided for estimated quantities, from which ThermoCor submitted a unit price bid. The contract also provided a Variance in Estimated Quantity Clause (“VEQ”), which provided, in pertinent part:
If the quantity of a unit-priced item in this contract is an estimated quantity and the actual quantity of the unit-priced item varies more than 15 percent above or below the estimated quantity, an equitable adjustment in the contract price shall be made upon demand of either party. The equitable adjustment shall be based upon any increase or decrease in costs due solely to the variation above 115 percent or below 85 percent of the estimated quantity. 48 C.F.R. [[section]] 52.212-11 (1989) (emphasis supplied).
Continue Reading Federal Claims Court Holds That A Variance In Estimated Quantities Clause Affords A Contractor Relief Only To The Extent That The Contractor Can Prove An Increase In Unit Costs Due Solely To Increased Quantities