A US JUDGE HAS ruled that General Dynamics (GD) and McDonnell Douglas (MDC) did not conceal from the US Department of Defense (DoD) problems with the A-12 attack aircraft. The ruling clears the way for a settlement of the companies' lawsuit arising from the 1991 cancellation of the $52 billion programme to produce a stealthy successor to the US Navy's Grumman A-6 attack aircraft.
US Claims Court Judge Robert Hodges has ruled that the DoD failed to prove its claim that the contractors withheld information on problems with the A-12 programme, which was over budget and behind schedule when it was cancelled without a single aircraft being completed.
GD and MDC are fighting the DoD's decision to terminate the programme for default, putting the blame for the cancellation on the contractors and preventing them from receiving compensation. The companies claim that they are owed more than $2 billion.
Hodges says that it was "manifestly clear" that the US Government "cannot prove its case". Evidence of concealment presented by the DoD was "discredited on cross-examination", he rules. The judge will rule on compensation and damages in 1996. Estimates of potential settlements range from $1 billion to $3 billion.
Source: Flight International