Report FFP during shutdown in Contract Administration Posted July 27, 2014 Thank you for rapid replies. While the sovereign act provides the government protection from liabilities incurred during the shutdown but as per Raytheon STX case, it does absolve the government from all contractual responsibilities. For example, contracts that provide facilities that are made unavailable during the shutdown " carried with it the implied promise that if they were not, [the government] would stand the resulting cost.” in any case, the Congresional bill passed for funding provided a retroactive start of funds to Oct 1 and continuation of the 2012 defense appropriations. I guess the best advice is to get an attorney. If the case is a slam dunk, then the cost will be recouped.