FOREWORD

This pamphlet is intended to provide information and reference material for the military lawyer. While it may suggest workable solutions to legal problems, it does not purport to promulgate Department of the Army policy or to be in any sense directory. Comments concerning laws, regulations, cases or other matters represent the opinion of an individual specialist in procurement law.

3. Limitations upon power of executive departments to contract...

II. Authority of Contracting Officers To Bind the United States

4. Contracting officers required to have actual authority-

5. Exceptions..........

a. Legislative relief..

b. Implied authority of contracting officers..

c. Ratification.............

d. Requirement of basic fairness...

III. Immunity of the United States From Suit

6. General..

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7. The Tucker Act...

8. Quasi-contract relief under guise of implied contract_-_.

IV. Liability of the United States for Breach of Contract

9. General.----

10. The defense of sovereign capacity---.

11. Executive discretion and probable cause.

12. Summary...

V. Choice of Law in Government Contracts

13. Federal law governs Government contracts__.

14. Exceptions‒‒‒‒‒

CHAPTER 2. LEGAL PRINCIPLES PERTAINING TO APPROPRI-

ATED FUNDS

1. Introduction____

I. The Budget Process

2. In General.

3. Preparation of the Navy's budget_____

4. The appropriation of funds to support the Navy: congres-

sional hearings..

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5. The appropriation bill___

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6. Execution of the Navy's budget: The administrative ma-

chinery...

33

7. The General Accounting Office. --

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1

II. Appropriations for the Navy

A. In General

8. The constitutional Lavaground: The source of authority

for appropriations___.

9. The requirement for appropriations___

10. The legislative framework for the use of appropriations-

a. Specific language necessary to make an appro-

priation, 31 U.S.C. § 627...

b. Construction of appropriation acts, Rev. Stat.

§ 3678---

c. The Anti-Deficiency Act, Rev. Stat. § 3679..

d. Adequacy of appropriations, Rev. Stat. § 3732---

e. The miscellaneous receipts rule, Rev. Stat. § 3617- 42

f. Proceeds from sales of Government property,

Rev. Stat. § 3618__

11. Fiscal management---

12. Appropriation Acts. -

B. Period for Which Available

13. One-year and multiple-year appropriations: period avail-

D. Project Orders, Economy Act Orders, and Transfers Between

III. Collection of Debts

A. The Priority of the United States as Creditor

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31. The statutory priority of the United States: purpose--

32. Construction___

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33. Application of the priority statute to debts of the United

States___

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34. Insolvency of the debtor....

35. The priority statute and the Bankruptcy Act---.

36. Specific proceedings under the Bankruptcy Act----

37. The priority statute and liens of other claimants...

38. Conveyances, mortgages and attachments...

39. Inchoate liens.

40. Characterization of liens a matter of Federal law.

41. Summary..

B. Procedures for the Collection of Debts

42. Administrative procedures within the Navy.

43. Setoff

44. The General Accounting Office and the Department of

Justice---

C. Collection of Debts under the Bankruptcy Act

45. In general. --

48. Secured claims___.

rupt

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46. Executory contracts of the Navy..

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47. Unsecured claims.--

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49. Government-owned property in the possession of a bank-

81

50. Corporate reorganizations and arrangements___

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CHAPTER 3. BASIC PROCUREMENT POLICIES

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III. Contingent Fees

5. General__.

6. Implementation...

a. The standard contract clause---

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b. Representation and agreement required from prospec-

tive contractor_____

c. Interpretation of the clause____

IV. Officials Not To Benefit

7. General___.

8. Criminal aspects--

9. Civil aspects---

V. Policy Against Contract Gratuities

10. Policy against contract gratuities.

VI. Policy in Favor of Domestic Products

11. Legislative growth of "Buy American".

12. Assumption of control by the President___

13. Implementing regulations-Department of Defense----

14. Restrictions in appropriation acts-preference for the

purchase of domestic food and clothing---