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Impact Of The Governing Policies And Regulations

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This analysis on the impact of the governing policies and regulations as they specifically pertain to procurement, acquisition and contracting perspective surrounding the business dealings between Commodity Credit Corporation (CCC) a government agency and American Renaissance Lines, Inc. (ARL). This analysis will identify core decision(s), rationale for pursuing court proceedings, the immediate and future implications. In May 1966, ARL a private shipping company responded to an open invitation issued by the United States Government through the Commodity Credit Corporation to participate in providing a bid for the transport of large amounts of foodstuffs from the United States to South Vietnam. The solicitation of external…show more content…
American Renaissance Lines, Inc., responded to the government complaint and countered that the government could not enforce a charter agreement made orally, only. However, following the denial of the motion by the District Court, ARL submitted the oral charter issue to the Court of Appeals for review. In the case with ARL the entire agreement was made orally, and no written contract was sent until after the agreement was denied. American Renaissance Lines, Inc. declare that vital provisions were never agreed upon, and disputes the CCC version of what was actually agreed to, e.g., whether long or short tons were meant was a major point of contention. Protection for the private company, as well as the Government, is necessary under these circumstances. A Congressional mandate was issued, in order to ensure protection for both parties (private and Government) and to better clarify guidelines with respect to contract actions. “After August 1954, no amount shall be recorded as an obligation of the Government of the United States unless, it is supported by documentary evidence of the 1955 Congressional Supplemental Appropriation Act, 1311(a)(1) a binding agreement in writing between the parties thereto, including Government agencies, in a manner and form and for a purpose authorized by law, executed before the expiration of the period of availability for obligation of appropriation or fund considered for specific goods to be
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