The U.S. Department of Justice (DOJ) announced on August 25 that Deloitte has agreed to pay $21.5 million to resolve allegations that certain diversity, equity, and inclusion (DEI) practices discriminated against employees and applicants based on race or sex and caused the company to submit false claims for payment under federal contracts. The settlement is the latest enforcement action under DOJ’s Civil Rights Fraud Initiative and follows an April settlement in which IBM agreed to pay approximately $17 million to resolve similar allegations.
Continue Reading Deloitte DEI Settlement Highlights False Claims Act Risk at Both Federal and State Levels
SBA Finalizes New Social Disadvantage Standard for 8(a) Program
The U.S. Small Business Administration (SBA) has finalized a significant change to how small businesses establish social disadvantage for purposes of the 8(a) Business Development Program. Effective September 10, 2026, SBA will eliminate the longstanding regulatory presumption that members of certain racial and ethnic groups are socially disadvantaged and replace it with a single standard available to applicants regardless of race. The rule also eliminates the existing narrative-based test for establishing individual social disadvantage, which SBA has applied to all individually owned applicants since the Ultima decision.
Continue Reading SBA Finalizes New Social Disadvantage Standard for 8(a) Program
Procurement Fraud Enforcement Trends Continue Into 2026
As procurement fraud enforcement continues to be a priority for the Department of Justice and other federal agencies, we take a look back at significant 2025 enforcement developments affecting government contractors, grant recipients and participants in federal programs in our 2025 Procurement Fraud Review.
Continue Reading Procurement Fraud Enforcement Trends Continue Into 2026Clarified Standard for Challenging CICA Stay Overrides
On April 15, the Federal Circuit issued a decision clarifying the burden a protestor must meet when challenging an agency’s override of the Competition in Contracting Act’s (CICA) automatic stay of performance. In Life Science Logistics, LLC v. United States, the court held that when challenging an override of CICA’s automatic stay of performance after a protest is filed at the GAO, a protestor need not demonstrate entitlement to an injunction under the standard four-factor equitable relief test. Instead, the protestor only needs to show that the agency’s override decision was arbitrary and capricious.
Continue Reading Clarified Standard for Challenging CICA Stay OverridesSBIR/STTR Reauthorization Brings New Opportunities and New Diligence Expectations
After a brief lapse, Congress has reauthorized the Small Business Innovation Research and Small Business Technology Transfer programs through Fiscal Year 2031. President Trump signed the Small Business Innovation and Economic Security Act, S. 3971, into law on April 13, 2026. The legislation restores certainty to two of the federal government’s most important funding programs for small business research and development, but it is not a clean extension. The reauthorization makes several meaningful changes to the way agencies will evaluate applicants, manage Phase II and Phase III awards, and screen foreign investment risk.
Continue Reading SBIR/STTR Reauthorization Brings New Opportunities and New Diligence ExpectationsPresident Trump Issues Executive Order Directing Agencies to Default to Fixed-Price Contracting
On April 30, President Trump issued an Executive Order (Order) directing federal agencies to make fixed-price contracting the default and preferred procurement method across the federal government. The Order reflects the administration’s view that fixed-price contracts better promote cost predictability, contractor accountability, and performance-based outcomes than cost-reimbursement and other non-fixed-price contract types.
Continue Reading President Trump Issues Executive Order Directing Agencies to Default to Fixed-Price ContractingFAR Council Moves Quickly on DEI Executive Order, Which Has Already Been Challenged in District Court
On April 17, the Federal Acquisition Regulatory (FAR) Council issued guidance implementing Executive Order (EO or Order) 14398, Addressing DEI Discrimination by Federal Contractors, less than 30 days after the Order was signed and well ahead of the 60-day deadline the Order gave the Council to act. Because the Order required agencies to begin implementation within 30 days, the FAR Council likely took quick action to ensure a uniform government-wide approach to implementation of this requirement.
Continue Reading FAR Council Moves Quickly on DEI Executive Order, Which Has Already Been Challenged in District CourtPresident Trump Issues Executive Order Targeting “DEI” Practices by Federal Contractors
On March 26, President Trump issued a new Executive Order (EO), Addressing DEI Discrimination by Federal Contractors, that seeks to prohibit federal contractors and subcontractors from engaging in what the EO defines as “racially discriminatory DEI [diversity, equity and inclusion] activities.”
Continue Reading President Trump Issues Executive Order Targeting “DEI” Practices by Federal ContractorsUnderstanding the False Claims Act Implications of Trump’s Latest DEI Order for Federal Contractors
I recently shared my perspective on President Trump’s newest executive order, which is designed to restrict federal contractors from participating in what the administration characterizes as “racially discriminatory” DEI efforts. Under this order, certain DEI‑related activities could put a contractor’s eligibility for future federal work at risk.
Continue Reading Understanding the False Claims Act Implications of Trump’s Latest DEI Order for Federal ContractorsGAO: Conversion Did Not Void Procurement Eligibility
In the matter of L3Harris Technologies Integrated Systems L.P., the Government Accountability Office (GAO) denied a protest filed by L3Harris challenging the U.S. Army’s award to Sierra Nevada Company, LLC for the Army’s HADES (High Accuracy Detection and Exploitation Systems) aircraft effort.
Continue Reading GAO: Conversion Did Not Void Procurement Eligibility