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East West, Inc. v. United States
100 Fed. Cl. 53
Fed. Cl.
2011
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Background

  • East West, Inc. challenges NIH's exclusion of its bid from the competitive range for custodial services.
  • East West previously pursued related protests before GAO, resulting in corrective actions and later this court review.
  • Plaintiff sought to supplement the administrative record with Mr. Steven Duong’s declaration, which discusses agency communications and East West’s staffing responses.
  • NIH communications allegedly signaled East West to reduce housekeeping staff; East West claims these communications caused competitive prejudice.
  • The court must decide whether to add the declaration to the administrative record and how to address potential prejudice evidence in court.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Whether Duong declaration should be added to the administrative record. Duong clarifies agency communications and prejudice. Declaration is post hoc and not before the agency; not needed for review. DENIED
Whether the declaration may be used to prove prejudice in the court record. Declaration shows prejudicial reliance on misleading agency communications. Prejudice evidence belongs in court record, not AR; burden on plaintiff. GRANTED
Whether references to Duong's declaration in East West's merits brief should be struck. DENIED

Key Cases Cited

  • Gentex Corp. v. United States, 58 Fed.Cl. 644 (Fed. Cir. 2009) (prejudice evidence and supplementation concepts in bid protests)
  • Hunt Bldg. Co. v. United States, 61 Fed.Cl. 268 (2004) (affirming supplementation for prejudice signals in some contexts)
  • Axiom Resource Mgmt., Inc. v. United States, 564 F.3d 1374 (Fed.Cir. 2009) (administrative record scope and APA review standard)
  • Overton Park, 401 U.S. 402 (1971) (APA review and administrative record basis for judicial review)
  • Data General Corp. v. Johnson, 78 F.3d 1556 (Fed.Cir. 1996) (prejudice and record development in bid protests context)
  • PlanetSpace, Inc. v. United States, 90 Fed.Cl. 1 (2009) (court record may contain material outside AR for prejudice/relief questions)
  • AshBritt, Inc. v. United States, 87 Fed.Cl. 344 (2009) (court record considerations for prejudice and relief in bid protests)
  • Mori Assocs., Inc. v. United States, 98 Fed.Cl. 572 (2011) (supplementing procurement records where ignored information is relevant)
  • Tauri Group, LLC v. United States, 99 Fed.Cl. 475 (2011) (post-decision record supplementation principles)
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Case Details

Case Name: East West, Inc. v. United States
Court Name: United States Court of Federal Claims
Date Published: Sep 7, 2011
Citation: 100 Fed. Cl. 53
Docket Number: No. 11-455C
Court Abbreviation: Fed. Cl.