State secrets barely come up in Pentagon Supreme Court caseBy Michael Doyle | McClatchy Newspapers
Posted on Tuesday, January 18, 2011
WASHINGTON — Supreme Court justices seemed inclined Tuesday to split the money difference and avoid serious questions about state secrets in a multi-billion-dollar contract dispute that pits the Boeing Co. against the Pentagon.
In a highly anticipated oral argument that quickly turned technical, the justices sounded prepared to let Boeing keep the money it's already been paid for the canceled A-12 Avenger warplane. At the same time, they seemed skeptical about Boeing being paid more.
"It's the 'go-away' principle of jurisprudence," Justice Antonin Scalia explained, adding, "It means that everybody keeps the money he has."
There's a lot of money involved. Boeing and General Dynamics want to retain $1.35 billion already paid for the A-12, an ill-fated stealth aircraft whose contract was canceled in 1991. The Pentagon wants the money back.
In addition to keeping the $1.35 billion, the defense companies want to be paid an additional $1.2 billion for work they've done. Judging from the questions asked during the hourlong argument, that position seems a stretch.