The Contractor's Perspective

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Government contractor pleads guilty to fraud for paying drivers as independent contractors

By David P. Hendel on June 25, 2019

Paying workers as independent contractors instead of as employees may land a former executive in jail for criminal wire fraud. On June 12, 2019, the former operations manager and vice president of a Florida-based mail transportation contractor pled guilty to two counts of wire fraud related to such treatment. The Government’s case was based on pricing estimates for employee-related costs that the contractor later did not incur because it instead used independent contractors. In the June…

The Contractor's Perspective

The importance of specificity in small business joint venture agreements

By Steven A. Neeley on May 13, 2019

When drafting small business joint venture agreements, the devil is in the details. A template JV agreement—like the one from the Small Business Administration—may not guarantee a JV’s eligibility for a contract award. The details of the agreement, like which contracts the JV will pursue and what each side will contribute, are critical. Even if approved, a generic JV agreement may not survive a protest. In CVE Protest of Veterans Contracting, Inc., the SBA’s Office of…

The Contractor's Perspective

Don’t delay a pre-award debriefing

By Steven A. Neeley on April 28, 2019

If you are excluded from the competitive range in a procurement, you have a right to request a debriefing (within 3 days) to learn why. 41 U.S.C. § 3705(a). But the scope of that pre-award debriefing is more limited than a post-award debriefing. Pre-award debriefings cover the agency’s evaluation of “significant elements” of the excluded contractor’s offer, the rationale for the exclusion, and “reasonable responses to relevant questions” posed by the excluded offeror. 41 U.S.C. …

The Contractor's Perspective

Transportation Companies Dominate 2018 List of Top U.S. Postal Service Suppliers

By David P. Hendel on March 19, 2019

Transportation companies again dominate this year’s Top 150 U.S. Postal Service Suppliers list. All told, USPS spent nearly $16 billion on purchases in FY 2018, about $900 million more than last year. Not surprisingly for an agency charged with moving the mail, six of the top ten contractors provide transportation services or equipment. The Top 150 list has been compiled annually since 1999 by David Hendel, a partner in the firm’s Technology, Manufacturing, …

The Contractor's Perspective

Can you be forced to sign this contract modification?

By David P. Hendel on December 10, 2018

Every year or so, the U.S. Postal Service changes the standard Terms and Conditions that apply to its newly awarded Highway Contract Route (HCR) and Contract Delivery Service (CDS) contacts. When this occurs, the new terms only apply to newly awarded contracts–existing contracts are unaffected and retain the same terms as when awarded. But this year, the Postal Service has sought to apply new Terms and Conditions to existing CDS contracts as well as newly awarded ones. In an email…

The Contractor's Perspective

Iran sanctions update for US government contractors

By Husch Blackwell on November 5, 2018

Iran sanctions lifted as part of the Iran Nuclear Deal went back into effect today, November 5, 2018. Companies seeking or performing US government contracts should take this opportunity to confirm that none of their international vendors, suppliers, and subcontractors are on the Office of Foreign Assets Control’s Specially Designated Nationals and Blocked Persons list. As discussed in more detail in this blog post by our firm’s Export Controls and Economic Sanctions team, the reimposed sanctions extend to a wide…

The Contractor's Perspective

Why getting the wrong result in arbitration may be what you bought

By Ken Slavens on September 25, 2018

Arbitration is often seen as a way of getting a more predictable result in complex construction disputes. The subject matter expertise available with experienced arbitrators and the finality of the arbitration process itself are certainly important considerations. But resolving disputes in arbitration can sometimes lead to surprising results, even ones that might be inconsistent with the underlying contract or with applicable state law. The Eighth Circuit’s recent decision in Beumer Corp. v. ProEnergy Services, LLC, …

The Contractor's Perspective

What the Lance Armstrong Settlement Agreement Tells Us about the Government’s Case

By David P. Hendel on June 27, 2018

While the settlement of the False Claims Act case against Lance Armstrong has generated a press release, a quick online search didn’t produce a copy of the actual agreement. So I filed a Freedom of Information Act request and the next day the Department of Justice provided me a copy of the Lance Armstrong settlement agreement. Thank you, Team DOJ! Below is my take on that agreement and what it tells us about…

The Contractor's Perspective

Top 150 U.S. Postal Service suppliers get more in FY 2017

By David P. Hendel on March 14, 2018

As part of our postal industry practice, we annually compile a list of the Top 150 USPS suppliers based on data received under the Freedom of Information Act. In FY 2017, USPS spent $13.9 billion on outside purchases and rental payments, an increase of $181 million over last year. The biggest increase went to the top 10 USPS suppliers. That group received a total of $3.9 billion, up $400 million from last year and accounting…

The Contractor's Perspective

After Escobar, materiality matters

By Steven A. Neeley & Brian Waagner on January 31, 2018

Contractors are now familiar with the Supreme Court’s June 2016 decision in Universal Health Services, Inc. v. United States ex rel. Escobar [PDF]. That decision recognizes False Claims Act liability for implied false certifications. But it also holds that FCA liability is available only when the false statement or omission is “material” to the Government’s decision to pay a claim. Our discussion of Escobar is available here. Over the last 18 months, courts…

The Contractor's Perspective

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Government contractor pleads guilty to fraud for paying drivers as independent contractors

The importance of specificity in small business joint venture agreements

Don’t delay a pre-award debriefing

Transportation Companies Dominate 2018 List of Top U.S. Postal Service Suppliers

Can you be forced to sign this contract modification?

Iran sanctions update for US government contractors

Why getting the wrong result in arbitration may be what you bought

What the Lance Armstrong Settlement Agreement Tells Us about the Government’s Case

Top 150 U.S. Postal Service suppliers get more in FY 2017

After Escobar, materiality matters

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