Army Prevails in Contract Dispute Over $73 Million Project

Korte Construction Co. isn’t entitled to the roughly $493,000 the US Army deducted from a $73 million contract to build a fuel hangar at an Oklahoma air base, a federal appeals court said Thursday.

Korte’s reading of the contract as not requiring the installation of chilled water lines is unreasonable, the US Court of Appeals for the Federal Circuit said.

Although the contract called for chilled water piping to be an extension of a non-existent chilled water system, that doesn’t excuse Korte’s commitment to satisfy the express provisions of the contract. “The only reasonable reading” of the agreement is ...