When JV Partners Disagree About Whether To Protest

Law360, New York (April 13, 2015, 10:57 AM EDT) -- These days, government contractors are pursuing federal work through joint ventures with increasing frequency. Among the reasons for this are that joint ventures allow contractors to combine resources and share risk. Not surprisingly, many joint ventures, upon formation, focus primarily on the details of proposal preparation and (hopefully) eventual contract performance. One important consideration that often is not given much beforehand attention is how, specifically, the JV will decide whether or not to file a bid protest in the event that it does not win a given contract. Neglecting this important consideration could result in a situation where one JV partner wants to pursue a protest, but the other JV partner does not, and the two partners are unable to resolve their disagreement within the short window of time before a protest must be filed. The Government Accountability Office's recent decision in InSpace 21 LLC--Recon., B-410852.4, brings to light this very real conundrum and reminds us that an ounce of prevention is worth a pound of cure....

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