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The Trump administration, as part of its efforts to reshape the federal government, began terminating federal contracts for the convenience of the government almost immediately after coming back to town. These contract...more
Federal programs often require individuals employed by multiple corporations and by the federal government to work together. To ensure the project is successful, the prime contract and any related subcontract will often grant...more
Federal contracts famously include a clause permitting the government to terminate the agreement for the government's own "convenience"—even if the contractor did not default on its performance obligations. Aware of this...more
A recent decision from the Court of Appeals of Virginia may have companies doublechecking the workshare terms in their subcontracts. The Court held that a subcontractor's 40 percent workshare only applied to the $70 million...more
When hackers gain access to a subcontractor’s information systems and divert the prime contractor’s payment to themselves instead of to the subcontractor, does the prime contractor still have to pay the subcontractor?...more
Determining which language applies to a contract dispute is critical to any contractor seeking to recover costs through the claims and appeals process. Recently, through a series of appeals before the Civilian Board of...more
When two companies negotiate a subcontract in support of a federal government prime contract ("federal subcontract"), they may include provisions capping their liability to each other at specific amounts. In structuring such...more
Government contractors often "flow down" contract clauses from the Federal Acquisition Regulation (FAR) and its supplements to their subcontractors, including clauses related to changes (e.g., FAR 52.243-1) and excusable...more
Since the beginning of the pandemic, boards and courts have denied a vast majority of construction claims seeking pandemic-related costs under fixed-price contracts. In this blog, PilieroMazza summarizes a recent claim where...more
Over the last few years, the government has shifted away from lowest price technically acceptable valuations placing a larger importance on past performance. The past performance requirement can sometimes create obstacles for...more
The Virginia legislature recently took a broad step toward limiting the use of certain common clauses in construction subcontracts. This new legislation, effective January 1, 2023, amends the state's Prompt Payment Act...more
Bibi Hidalgo, the Associate Administrator for SBA’s Office of Government Contracting and Business Development, just announced during her keynote address at the National 8(a) Association Alaska Regional Conference that SBA...more
As the marketplace slows in response to the worldwide spread of COVID-19, companies are (or should be) breaking out their contracts and subcontracts to see what they say to protect themselves from current and future problems....more
With the novel coronavirus (COVID-19) spreading outside of China at an ever-increasing rate, government contractors should prepare for possible service and payment interruptions. In addition, the administration is considering...more
The Ninth Circuit recently affirmed a district court order vacating an arbitration award arising from the termination of subcontracts for the construction of army buildings and facilities in Afghanistan. ...more
Commercial Item Contracting is intended to benefit both the government and contractors, but those benefits can sometimes get lost in the shuffle. Reminding the parties why Commercial Item Contracting was implemented can help...more