CANVS Corporation v. Barbara M. Barrett, Secretary of the Air Force

Can the Armed Services Board of Contract Appeals, an administrative panel, deprive a corporation of valuable intellectual property without due process? Does due process require the ASBCA to consider all evidence submitted at trial before rendering an adverse judgement? Did the ASBCA's (i) refusal to reach a determination on the "bundle of rights" granted and (ii) the CAFC's refusal to consider damages evidence deprive CANVS of due process? Congress created the Small Business Innovation Research (SBIR) program under the Small Business Act of July 30, 1953, to "aid, counsel, assist and protect, insofar as is possible, the interests of small business concerns." (see: www.sba.gov) Petitioner, CANVS, participated in the SBIR program and developed highly proprietary hardware used to advance the night time warfighting capabilities of US service men and women. Petitioner received awards of recognition for its Color Night Vision Goggles. Petitioner engaged in a contractual agreement with the US government to allow the government to implement CANVS technology to the benefit of national defense, while ensuring that the proprietary aspects of CANVS's technology would be protected. The US Government not only failed to protect CANVS's technology but actually displayed the technology at an open forum. The government admitted its open display of the technology in breach of its contract, but denied liability alleging "no damages." Petitioner presented evidence to the ASBCA, including damages evidence. However, the ASBCA bifurcated the proceedings, excluded damages evidence and then ruled against Petitioner based upon a "lack of proof of damages."