Carrier Corporation, Successor on Merger to Affiliated Gas Equipment, Inc. v. The United States

JONES, Chief Judge.

The plaintiff seeks to recover the sum of $892,937.97 as damages caused by an alleged breach by the United States of a contract for the manufacture of high-explosive 90 mm. T-91 shells for the Ordnance Corps of the Department of the Army. The contract was cancelled after approximately 28 percent of the shells called for by the contract had been manufactured.

There are a number of issues and collateral issues involved. The defendant filed a special plea of fraud under 28 U.*329S.C. § 2514. It further asserts a failure on the part of the plaintiff to exhaust the available…