No Good-Faith Duty Until Contract Signing, Fed Circ. Says

Law360, New York (September 5, 2012, 10:57 PM EDT) -- The Federal Circuit on Wednesday upended a $7 million award against the U.S. Forest Service, finding it did not violate a good-faith duty by awarding timber harvesting contracts that faced opposition by environmental groups because there is no such good-faith duty until after a contract is signed.

A three-judge panel reversed a lower court’s more than $6.8 million judgment in favor of Scott Timber Co., finding that the agency’s lack of specific detail about the suspension risks faced by the contracts, before it awarded them to...
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