Telescope Folding Furniture Co. v. United States

The plaintiff entered into a contract with the defendant to furnish a certain number of folding canvas cots “with unbleached (gray) duck” at $2.39 each. Article 1 of the contract contained this provision:

Prices set forth herein include any Federal tax heretofore imposed by the Congress which is applicable to the material purchased under this contract. If any sales tax, processing tax, adjustment charge, or other taxes or charges are imposed or changed by the Congress after the date set for the opening of the bid upon which this contract is based and made applicable directly upon the…