Decision: Agencies Are Not Required to Accept Size Standards Increased After Solicitation is Issued

Recently, the U.S. Court of Federal Claims issued the decision in Orion Construction Co. v. United States, No. 15-1505C (Fed. Cl. April 1, 2016) which is a cautionary tale for all small business offerors regarding the risk of an inaccurate certification from simply misinterpreting which size standard applies to a particular solicitation. In the case, the United States Naval Facilities Engineering Command Southwest (“NAVFAC”) issued a solicitation for “commercial and institutional building construction” companies under North American Industry Classification System (“NAICS”) . . . Read More

GAO Proposes Rule to Create New Electronic Filing System and Fee

By Katie Flood On April 15, 2016, GAO released a  proposed rule  announcing its intent to create an electronic bid protest filing and document dissemination system. The proposed system will implement requirements of Section 1501 of the Consolidated Appropriations Act for Fiscal Year 2014, enacted on January 14, 2014. In the proposed rule, GAO outlines the basics of the system, which will be called the Electronic Protest Docketing System (EPDS). Once up and running, EPDS will be the sole means for filing . . . Read More

Data Rights Under Federal Government Contracts: What Are Data rights?

This article is the first installment in a series from PilieroMazza where we will walk through the various data rights clauses in the FAR and DFARS to explain how they are supposed to work, what they mean, and when to know which rules apply to a particular procurement. Data rights under federal government contracts create confusion from both the government and the contractor perspectives. There is substantial misunderstanding as to the purpose of the data rights regulations and the limits . . . Read More

Negotiating the Landlord Services Provision of Your Office Lease

In negotiating an office lease, business owners should pay particularly close attention to the provisions detailing the services that the landlord will be required to provide and the terms and conditions regarding those services. Business owners often have significant negotiating power with respect to such provisions, and therefore have the potential to custom-fit the services that the landlord will be required to provide to the specific needs of their business. Landlord services that business owners should consider include: Heating and . . . Read More

Employer Policy Critical to Defense Against FMLA Liability

A well-crafted employer policy, and whether it was followed, is often just as important to the outcome of a dispute with an employee as the law itself. This is why attorneys constantly trumpet the need to update policies regularly and abide by them. There is no better example of this than a case recently decided by United States District Court for the Southern District of New York. In Graziadio v. Culinary Institute of America, et al., No. 13-cv-1082 (NSR) (S.D.N.Y . . . Read More

Increased Suspensions and Debarments Bring Challenges for Small Business Contractors

By Alex Levine Newly released Department of Defense statistics show that the number of suspension and debarment actions initiated by defense agencies continue to rise, in some cases significantly. For example, in fiscal year 2015, the Army issued 456 debarments–a one year increase of 63 percent over the prior year. These numbers are indicative of a larger and continuing trend amongst federal agencies. Such agencies have increased their scrutiny on government contractors, resulting in greater suspension and debarment actions. Commentators . . . Read More

CBCA Expands its Approval of Subcontractors’ “Sponsored” Claims

By Julia Di Vito Typically, a subcontractor cannot appeal a Contract Disputes Act (“CDA”) claim to the Civilian Board of Contract Appeals (“CBCA”) because the subcontractor lacks privity of contract with the government. However, the CBCA allows subcontractors’ claims to be “sponsored” by the prime contractor, whereby the prime contractor files a CDA claim on behalf of the subcontractor, and later appeals it to the CBCA. Thus, even if the subcontractor is the party who has been damaged by the . . . Read More

10 Signs That a Contract May Give Rise to an OCI

By Michelle Litteken As many contractors are all too aware, OCI stands for “organizational conflict of interest.” An OCI arises when, because of other relationships or circumstances, a contractor may (1) be unable to render impartial advice or assistance to the government, (2) be unable to objectively perform contract work, or (3) have an unfair competitive advantage. An OCI can lead to disqualification from a procurement, termination of an existing contract, or sanctions. Given the severity of these potential consequences, . . . Read More

Update to SBA’s New ITVAR Size Rule

Back in February,  we wrote about SBA’s new size rule  for IT value-added resellers (“ITVARs”) and the major ramifications of the new rule. The rule requires ITVARs to comply with the nonmanufacturer rule when reselling IT products to the federal government under NAICS code 541519, footnote 18, which has a size standard of 150 employees. This was a 180-degree turnaround from SBA’s prior position on ITVARs, which were not previously required to comply with the nonmanufacturer rule. The upshot of the new rule is that ITVARs performing . . . Read More

U.S. Supreme Court’s Upcoming Ruling on False Claims Act Case May Have Major Impact on Government Contractors

By Ambi Biggs The U.S. Supreme Court is set to hear oral arguments next month in a False Claims Act (“FCA”) case that could significantly broaden the scope of the statute and resolve a split among the U.S. Circuit Courts. If the Supreme Court were to rule in favor of an implied theory of certification, government contractors across the country could be held liable for violating the FCA by breaching regulations and contractual provisions to which they never certified that . . . Read More