Boston Ship Yard

1. Case name and citation:
In re capital of Massachusetts shipyard Corp., Debtor
Appeal of Boston Shipyard Corp.,
No. 89-1144 United States court of Appeals, counterbalance Circuit. 886 F.2d 451
Heard June 7, 1989. Decided September 1989
Before CAMPBELL, Chief approximate Reinhardt and Toruella circuit Judges.
Its alleged that the ruling in this case was not fair by the feature that the district court that affirm the bankruptcy of Boston Shipyard Corporation, BSC in favor of the appellee , the US host Sealift Command, manuscript.
2. Key Facts:
Boston Shipyard Corporation was arriveed out at the firm fixed price of $4,997,925 by the US military machine Sealift Command to reconstruct the Mississinewa. As with a lot of soaring dollar contracts the price of the reconstruction escalated to much more than was in the beginning estimated. BSC then filled a switch order in contract specs to MSC. BSC did not promptly respond to this change order which lead huge financial problems at BSC. BSC monetary resource continued to decline and till August 1985 the MSC had to build up to BSC. The contract was eventually terminated when MSC failed to make payments. BSC tell they based pulling out of the contract by the fact that they declared bankruptcy. The West Federal Reporter stated that on October 17th that the government terminated the contract since MSC failed to remediate BSC.





3. Legal issues presented before Court:
1. MSC refused to pay BSC for special(a) incurred expenses not in the contract
2. BSC ceased business with MSC and pulled out of the contract.
3.BSC presumed that MSC would pay for the extra cost incurred.
4. Holding of the court:
On February 25th 1986, the government filed a proof of claim of $9.2 one million million million in reprocurement costs through the US Bankruptcy Court. BSC filed a counter objection claim stating they meant to transform the terminated contract into a contract that actually was advantageous for the Government. The government was promote During the first hearing at the bankruptcy court healthy that BSC...If you want to get a full essay, order it on our website: Ordercustompaper.com



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