On June 2, the Small Business Administration’s (SBA) Office of Hearing and Appeals (OHA) denied a size appeal filed by Veteran Elevator Solutions, LLC (VES) challenging the size of Bass, Berry & Sims’ client GD Resources, LLC (GD Resources). This decision demonstrates the application of the 2023 “safe-harbor” addition to the ostensible subcontractor rule as previously discussed in an earlier blog post.Continue Reading Compliance with Limitation on Subcontractor is Ostensible Subcontractor Safe Harbor
Preparing for the Unexpected: Legal and Strategic Considerations in Federal Contract and Grant Terminations
Federal contractors and grant recipients are no strangers to changing requirements and evolving priorities. But in recent months, we’ve seen a noticeable increase in stop work orders, early terminations, and administrative actions that directly impact performance, cash flow, and compliance obligations.
These situations are rarely straightforward. Agencies may issue stop work orders based on shifting funding or political directives. Terminations may stem from compliance findings or performance concerns, even when the root causes are unclear or disputed. Contractors and recipients must be ready to respond quickly with a sound understanding of the legal framework and a plan for recovery.
To help navigate this complex landscape, we hosted a webinar with Donna Dominguez of Aprio.Continue Reading Preparing for the Unexpected: Legal and Strategic Considerations in Federal Contract and Grant Terminations
Bid Protest Minute: Insufficient Funds are Grounds to Cancel
On April 29, the Government Accountability Office (GAO) denied Davenergy-VCI JV, LLC’s protest of a solicitation’s cancellation, holding that the lack of available funding is sufficient grounds to cancel. In denying the protest, GAO determined that delays, even those occurring after the evaluation, do not invalidate a cancellation if a rational basis exists, such as changed requirements or insufficient funds.Continue Reading Bid Protest Minute: Insufficient Funds are Grounds to Cancel
DOJ’s New Civil Rights Fraud Initiative – Expect Increased Enforcement
On May 19, the Department of Justice (DOJ) announced the launch of the Civil Rights Fraud Initiative, which will use the federal False Claims Act (FCA) to pursue claims against recipients of federal funds that knowingly violate federal civil rights law. Continue Reading DOJ’s New Civil Rights Fraud Initiative – Expect Increased Enforcement
Bid Protest Minute – Protest Underscores Importance of Prejudice, Past Performance Requirements, and Protest Timing
On May 7, the Government Accountability Office (GAO) dismissed a protest challenging the terms of a solicitation for being unduly restrictive. The protest highlights three important considerations that contractors should understand when deciding to file a protest:Continue Reading Bid Protest Minute – Protest Underscores Importance of Prejudice, Past Performance Requirements, and Protest Timing
Implementation of Trump DEI Orders Slower than Expected: What Contractors Should Know
One of President Trump’s campaign themes was ending diversity, equity, inclusion (DEI) programs, and he moved quickly to address those campaign promises. Within days of his inauguration, the president issued two executive orders (EOs) overhauling how the federal government views programs seeking to advance DEI priorities.Continue Reading Implementation of Trump DEI Orders Slower than Expected: What Contractors Should Know
District Court Blocks Department of Labor Enforcement of Contractor DEI Certification Requirement
On April 14, U.S. District Judge Matthew F. Kennelly ruled, in relevant part, that the U.S. Department of Labor (DOL) cannot require federal grant recipients to certify that their diversity, equity and inclusion (DEI) programs do not violate applicable federal anti-discrimination law and prohibited the termination of the plaintiff’s Women in Apprenticeship and Nontraditional Occupations (WANTO) grant on the basis that it was “equity-related.”Continue Reading District Court Blocks Department of Labor Enforcement of Contractor DEI Certification Requirement
White House Announces “Revolutionary FAR Overhaul”: What to Know
Through a duo of Executive Orders (EOs), issued on April 15 and 16 respectively, President Trump announced “a first-of-its-kind overhaul of Federal procurement policy.” The rewrite represents a once-in-a-generation opportunity to make an incredibly complex system more efficient and user friendly. With that said, while the president positions the changes as an effort of “increase[ing] competition and efficiency while decreasing costs,” the devil is in the details. Below we discuss areas of emphasis for the Trump administration, the short-term implications of the Federal Acquisition Regulations (FAR) rewrite, and explore important considerations that could inform what the final version of “FAR 2.0” looks like.Continue Reading White House Announces “Revolutionary FAR Overhaul”: What to Know
False Claims Act Gives Broad Dismissal Authority to Government, District Judge Says
On April 2, the United States District Court for the Eastern District of Virginia dismissed a whistleblower’s False Claims Act (FCA) action after the relator attempted to dismiss the government as a plaintiff-intervenor in the lawsuit. Continue Reading False Claims Act Gives Broad Dismissal Authority to Government, District Judge Says
New False Claims Act Settlement Highlights Importance of Voluntary Self-Disclosures and Due Diligence
According to an April 1 Department of Justice (DOJ) press release, DRI Relays Inc. (DRI), a subsidiary of TE Connectivity Corporation (TEC) and manufacturer of electrical relays and sockets used on military platforms, agreed to pay $15.7 million to settle allegations that it violated the False Claims Act (FCA). The company supplied military parts that failed to meet the required military testing specifications, while falsely certifying that they did. The settlement highlights the benefits of self-disclosures, the importance of robust diligence during the acquisition process, and the lengthy nature of some FCA investigations.Continue Reading New False Claims Act Settlement Highlights Importance of Voluntary Self-Disclosures and Due Diligence