BLOG: Justice Department Issues New False Claims Act Guidance on Cooperation Credit That May Reduce FCA-Defendant Liability
Last week, on May 7, 2019, the U.S. Department of Justice (“DOJ”) announced the issuance of formal guidance to clarify the manner in which the DOJ allocates credit to defendants who cooperate with government investigations in False Claims Act (“FCA”) matters. In a press release from the Office of Public Affairs, the DOJ explained that it “has taken important steps to incentivize companies to voluntarily disclose misconduct and cooperate with [DOJ] investigations[.]” Specifically with regard to the FCA, the DOJ . . . Read More
BLOG: SBA Proposes to Implement Certification Requirement for WOSB/EDWOSBs and Revise Economic Disadvantage Criteria for 8(a) Eligibility
A few years ago, we wrote about how through the 2015 NDAA, Congress directed SBA to end self-certification for WOSBs and EDWOSBs and implement a certification process. On May 14, 2019, SBA issued the proposed rule which, if finalized, would implement a certification requirement for WOSBs and EDWOSBs. In this proposed rule, SBA has also proposed revising the economic disadvantage criteria for 8(a) companies, particularly for initial eligibility purposes, and to make these consistent between the 8(a) and EDWOSB programs. WOSB/EDWOSB . . . Read More
BLOG: CVE Denies SDVOSB Verification Application Based on Outdated VIP Profile
SDVOSBs participating in the VA’s Veterans First Contracting Program are required to maintain a Vendor Information Page (“VIP”) profile which contains a significant amount of information about the company, such as ownership structure, financial data, and capabilities. Making sure this information is current and accurate is critical to your verified SDVOSB status, as a recent OHA decision demonstrates. In CVE Appeal of Supreme Cleaning, Inc., SBA No. CVE-114 (2019), the appellant, Supreme Cleaning, Inc. (“Supreme Cleaning”), appealed the VA Center for . . . Read More
BLOG: Federal Appeals Court Gives $34 Million False Claims Act Pay Day to Whistleblower and Takes it From Another
“It was the best of times, it was the worst of times . . . .” Charles Dickens was not thinking of the False Claims Act when he wrote “A Tale of Two Cities,” but the First Circuit Court of Appeals was when it decided United States ex rel. McGuire v. Millenium Laboratories, Inc.earlier this week. With the decision, a three judge panel of that Court moved over $34 million in relator fees from one whistleblower to another, highlighting the risks—for both . . . Read More
BLOG: SBA Adopts New Size Standard Methodology and Says Updates to Size Standards Coming in “Near Future”
Earlier this month, SBA published its final rule adopting a revised size standards methodology. My colleagues, Jon Williams and Tim Valley, previously described the proposed changes to the methodology in a blog last year. The final methodology white paper adopts all the changes SBA proposed with minor revisions. SBA is moving from an “anchor” approach to a “percentile” approach. Under the anchor approach, SBA generally evaluated the characteristics of individual industries relative to the average characteristics of industries with an anchor size standard ($7.5 million and . . . Read More
BLOG: An Agency’s Corrective Action Decision Is Not Immune to Protest—What Does It Take to Win?
Corrective action is a common outcome of a bid protest. Indeed, the U.S. Government Accountability Office (GAO) reported that 29% of the protests filed in FY 2018 resulted in corrective action. If you are a protester, that may be great news. In the case of a post-award protest, it likely means that you have another shot at award. However, if you are an intervenor, it means the agency chose not to defend your award, and you could lose the contract. . . . Read More
BLOG: Thinking of Forming a Mentor-Protégé Joint Venture? Timing Matters
If you are thinking of forming a mentor-protégé joint venture to pursue a particular set-aside contract, it is critical that your timing has enough built-in cushion to ensure that all of the necessary approvals and entity-formation steps are accomplished before you submit your proposal. There is a fairly rigid sequencing of the steps involved in putting together the mentor-protégé application and subsequent joint venture agreement—make sure you do not fall into the trap of skipping a step, or otherwise you may put . . . Read More
BLOG: The Relationship Between Privacy and Trust
Recently, there has been an advertisement running during March Madness from Apple that is all about privacy. If your household has been watching as much college basketball as mine has, then you’ve likely seen it. It’s a minute full of real-world examples of how people value their personal privacy. None of those examples are particularly significant but, in the aggregate, it shows that this remains an issue that people are deeply concerned about. That concern, of course, is then applied . . . Read More
BLOG: Could You Be the Target of a Government Claim?
Most contractors know that they may submit a claim under the Contract Disputes Act (CDA) if a problem arises during performance. However, many contractors are not aware that the government also has the ability to bring a claim. Likewise, contractors may not understand the options for responding to a government claim. Given the potential gravity of a government claim, these are issues contractors should be aware of. To begin, you may be wondering what types of claims the government may bring. . . . Read More
BLOG: New IRS Requirements for EIN Applications Go Into Effect May 13, 2019
As we have all been scrambling to get our taxes completed this month, a new IRS requirement may have been overlooked that goes into effect on May 13, 2019. This new requirement impacts the process by which any new entity (including sole proprietorships, partnerships, limited liability companies, trusts, and corporations) can apply for an Employer Identification Number (EIN), the 9-digit identification number assigned to entities for tax filing and reporting purposes. The new requirements will impact all of our clients engaged . . . Read More