# USACE Revises Kuwait Construction Contract Award

The US Court of Federal Claims ruled that the US Army Corps of Engineers (USACE) improperly applied a price realism analysis in awarding a **$50 million** construction services contract in Kuwait to Al Ghanim Combined Group. The court clarified that the solicitation permitted only price reasonableness assessments, not price realism, and remanded the matter back to USACE for further action. This decision highlights the importance of strict adherence to solicitation terms in contract evaluations and may affect ongoing and future construction procurements overseas.

- Procurement officials should review solicitation language carefully to ensure evaluation criteria align with legal standards, particularly distinguishing between price reasonableness and price realism.
- Contractors bidding on USACE overseas construction projects should be aware that pricing evaluations must comply with solicitation terms, which may impact bid strategies.
- This ruling may prompt USACE and other agencies to reassess contract award procedures to avoid similar legal challenges and ensure compliance with procurement regulations.
- Industry stakeholders should monitor USACE's follow-up actions on this contract to understand potential impacts on contract awards and dispute resolutions in international construction services.

**Jurisdictions:** federal
**Industries:** Construction & Infrastructure
**Topics:** Regulatory Compliance
**Published:** September 23, 2026

### Government Entities
- US Army Corps of Engineers (USACE)
- US Court of Federal Claims

### Vendors
- Al Ghanim Combined Group (awardee)
- MVL USA Inc. (challenger)
