June 23, 1986: Inslaw Files First Claim with Board of Appeals over PROMIS Dispute
Inslaw files a claim with the Department of Transportation Board of Contract Appeals in its dispute over the Justice Department’s use of enhanced PROMIS software. Further claims will be filed on September 19, 1986 and August 24, 1987. The claims are filed subsequent to notices of appeal submitted in February 1985, as well as May and November 1986. The monetary claims fall into six categories:
Time-sharing charges for a computer center operated by Inslaw and used by several US attorneys’ offices;
Contract target fees and other payments;
Indirect costs, including overheads;
Direct costs;
Costs, including legal fees, incurred by Inslaw after a portion of the original contract was terminated by the government for its own convenience; and
Costs incurred because the Department withheld payments.
However, as the issue is also the subject of a dispute before a bankruptcy court and subsequent appeal courts, the matter will be held in abeyance and the board will not take any significant steps for years. [US Congress, 9/10/1992]