Traditionally, a fixed price government contract is one in which the contractor absorbs the risks and costs of performance. Absent an economic price adjustment (EPA) clause in the contract, an unforeseeable event, such as a force majeure, or government imposed contract change, the contractor is stuck with the benefit or lack of benefit of theRead More
Companies doing business in the United States are required to act honestly in their business dealings. Companies that have affirmative compliance and reporting requirements may suffer significant penalties if they are determined to violate applicable laws, rules and regulations. The U.S Sentencing Guidelines (USSG) provide for reduced sentencing for companies that have an effective complianceRead More
Under the CARES Act, Congress issued Section 3610 which authorized executive branch agencies to provide contractors certain reimbursement where the contractors used paid leave to keep their employees or subcontractors in a ready state and, inter alia, protect the life and safety of government and contractor personnel during the COVID-19 national emergency. On April 17,Read More
Despite “troubling” government conduct, the Armed Services Board of Contract Appeals (ASBCA) recently denied an appeal arising out of electrical work performed on a $38 million construction project involving the ground-up construction of four buildings for the United States Army. The dispute in Watts Constructors, LLC, ASBCA No. 61493 involved the use of rigid conduitRead More
In addition to providing relief to individuals, employees, small and non-small businesses, the Coronavirus Aid, Relief, and Economic Security (CARES) Act also mobilizes government and government contractors to address the special needs arising from the emergency and this relief package: Defense Production Act (DPA) The Defense Production Act (DPA) provides for creation, maintenance, expansion, orRead More