Government Contracts

  • January 26, 2015

    US Enrichment Sues Feds For $43M In Pension Costs

    United States Enrichment Corp. slapped the federal government with a breach of contract suit on Friday, alleging that the U.S. Department of Energy stiffed it for $42.8 million of retiree benefit costs after it finished work on a contract at a nuclear fuel plant in Portsmouth, Ohio.

  • January 26, 2015

    Army Corps Contractor Dealt Blow In FCA Discovery Fight

    A Louisiana federal court said Masonry Solutions Inc. must hand over documents in a False Claims Act suit brought by a whistleblower who alleged the contractors overbilled the U.S. Army and violated the Buy American Act, denying the company’s bid to reverse a magistrate’s decision Monday.

  • January 26, 2015

    Dynetics Lands $172M Contract To Support US Missile Agency

    Dynetics Inc. has been awarded an up to $172 million, five-year contract to provide technical and scientific support to the U.S. Department of Defense's Missile and Space Intelligence Center, the Pentagon announced Friday.

  • January 26, 2015

    Contractor Hit With Sanctions In Construction Project Suit

    An Illinois magistrate judge on Monday hit Alacran/O&S JV LLC with nearly $35,000 in discovery sanctions in a breach of contract battle with Weatherproofing Technologies Inc. over a federal construction project in Illinois.

  • January 26, 2015

    Investors Reject KBR Claims In Earnings Fraud Class Action

    A group of investors on Friday urged a Texas federal judge to deny KBR Inc.'s bid to nix a class action alleging securities fraud over its restated 2013 earnings, rejecting the contractor's claim that it did not intentionally mislead investors.

  • January 26, 2015

    Navy Ad Co. Asks Justices For Immunity From TCPA Suit

    The U.S. Navy's longtime advertising partner, Campbell-Ewald Co., has asked the U.S. Supreme Court to grant it sovereign immunity from a potential class action over allegedly unsolicited text messages, saying federal contractors can't be held liable for violations of the Telephone Consumer Protection Act.

  • January 23, 2015

    SpaceX, Air Force Settle Satellite Launch Contract Suit

    Space Exploration Technologies Corp. on Friday dropped its Federal Claims suit protesting the Air Force’s exclusive five-year contract awarding satellite launches to a Boeing Co.-Lockheed Martin Corp. joint venture, two weeks after the Air Force said it would certify SpaceX to compete in the program.

  • January 23, 2015

    GAO Sustains Fluor Bid Protest Over $532M Navy Contract

    The GAO has sustained a bid protest from Fluor Federal Solutions LLC over the award of a $532 million contract for base operations support services on the Joint Region Marianas base in Guam to DZSP 21 LLC, finding the U.S. Navy’s evaluation process was misleading in a decision made available Friday. 

  • January 23, 2015

    Convicted Exec Says DC's Medicaid Scheme Wrecked His Biz

    A Washington businessman convicted in a political scandal involving former District of Columbia Mayor Vincent Gray has accused the district of setting illegal Medicaid health care reimbursement rates to destroy his managed care organization, DC Chartered Health Plan Inc.

  • January 23, 2015

    Military Partners With Southern Co. On Fla. Solar Project

    Utility giant Southern Co.'s Florida unit on Thursday announced a partnership with the U.S. Navy and U.S. Air Force to build a large-scale solar energy project in the Florida panhandle that could power up to 18,000 homes for a year.

  • January 23, 2015

    DHS Technologies Scoffs At Attys’ Fee Request In FCA Row

    Military contractor DHS Technologies LLC on Friday urged a Pennsylvania federal judge to deny an employee-turned-whistleblower’s request for attorneys’ fees and costs after it agreed to pay $1.9 million to settle a claim that it overcharged the federal government on emergency mobile shelter purchases.

  • January 23, 2015

    Anchorage's Suit Over $302M Port Project Gets Green Light

    The Court of Federal Claims largely allowed to move forward a suit brought by the Municipality of Anchorage, Alaska, against the Department of Transportation's Maritime Administration for breach of a contract related to a $302 million port expansion project, according to an opinion published Thursday.

  • January 23, 2015

    Lawmaker Questions IRS Use Of Contractor

    A key member of the House Ways & Means Committee wants the Internal Revenue Service to explain why it recently inked a $4.46 million contract with the contractor that was fired for allegedly mishandling the rollout of the website, according to a letter released Friday.

  • January 23, 2015

    Whistleblower Says Health Fraud Convictions Seal FCA Claims

    The whistleblower in a Medicare billing False Claims Act suit against two principals of a hyperbaric oxygen therapy provider asked a Texas federal judge Thursday to grant her partial summary judgment, arguing the defendants’ related convictions for health care fraud estop them from denying her allegations.

  • January 22, 2015

    Ex-Contractor For NJ Watershed Agency Cops To Bribery

    A former contractor for the Newark Watershed Conservation and Development Corp. admitted in federal court Thursday to conspiring with a former NWCDC employee in a bribery and kickback scheme that defrauded the agency of hundreds of thousands of dollars, also pleading guilty to a tax charge. 

  • January 22, 2015

    Whistleblower In Humana FCA Suit Fights Sanctions Bid

    A whistleblower accusing Humana Inc. of Medicare Advantage fraud in a False Claims Act suit urged a Florida federal judge on Thursday to toss the "heavy-handed" motion for sanctions brought by co-defendant Plaza Medical Centers Corp., saying the defendants already have the information that Plaza claims is being withheld. 

  • January 22, 2015

    Mount Sinai Whistleblowers Deny Stealing Patient Info

    Mount Sinai Hospital whistleblowers on Wednesday rejected allegations they took confidential patient records to build their case, urging a New York federal judge not to dismiss their claims that the hospital fraudulently billed Medicare and New York’s Medicaid program.

  • January 22, 2015

    GAO Denies IBM's Bid Protest Over DOD Payroll Contract

    The Government Accountability Office has denied a bid protest from IBM Corp. over a contract to upgrade a Department of Defense payroll system, saying an IBM subcontractor's employee with potential access to nonpublic information created an organizational conflict of interest that could help IBM gain an unfair advantage.

  • January 22, 2015

    Lockheed Off The Hook In Age Bias Suit, 6th Circ. Rules

    The Sixth Circuit on Thursday refused to revive an age discrimination suit against Lockheed Martin Corp., finding no evidence that the company’s stated, legitimate reasons for not hiring the plaintiffs were a pretext to reject them for being too old.

  • January 22, 2015

    OLG Hits Venable With $6M Counterclaim In Fee Fight

    Overseas Lease Group Inc. asked a D.C. federal judge on Tuesday to dismiss a claim of fraud brought against its president and CEO by Venable LLP in a legal fees suit seeking more than $300,000, and in a separate filing the contractor launched a $6 million counterclaim over alleged misconduct and overbilling.  

Expert Analysis

  • Guidance On Statistical FCA Damages Model From Gosselin

    Drew Harker

    A Virginia federal court's recent decision to set aside a $101 million False Claims Act jury verdict against Gosselin World Wide Moving NV may support arguments to defeat broad interpretations of FCA liability advanced by the government or private relators. The ruling is also notable for its treatment of statistical modeling used to extrapolate damages under the FCA, say attorneys with Arnold & Porter LLP.

  • A Data Security Checklist For Companies Hiring Law Firms

    Jenn Topper

    We trust our law firms with huge amounts of data, whether in or out of discovery, investigations or litigation. All too often, we have relied on privilege, confidentiality and attorney ethics as a proxy for data protection and information security. But in fact, law firms ought to be held to a much more stringent standard — and in-house counsel would be wise to begin with a number of specific inquiries, says legal industry consultan... (continued)

  • FCPA Trends From The Last 6 Months

    Greg Deis

    After a relatively quiet third quarter in which there was only one corporate settlement of a Foreign Corrupt Practices Act enforcement action, 2014 ended with a flurry of activity, including the largest criminal penalty ever levied under the FCPA. Resolutions in the second half of the year highlight the value the agencies place on timely self-disclosure, full cooperation and remediation, say attorneys with Mayer Brown LLP.

  • Your Energy Tax Credit May Not Be Safe

    Jennifer A. Ray

    W.E. Partners II LLC v. U.S. is highly relevant to taxpayers planning to use the Section 48 investment tax credit to finance certain kinds of energy property. It is possible that the IRS will use this case to argue that, for example, the credit is not available for all of the costs of building an open-loop biomass cogeneration facility, say Jennifer Ray and David Blair of Crowell & Moring LLP.

  • Don’t Tell The Gov't 'It Wasn’t Me' — A Reminder From ASBCA

    Alexander Ginsberg

    While the Armed Services Board of Contract Appeals' Vertex Construction & Engineering case serves as a case study in the pitfalls of prime contractor ignorance concerning its subcontractors, a number of the appellant’s failures are not so unusual and may not be obvious to prime contractors that find it entirely reasonable to rely on their subcontractors when preparing proposals, say Joel Van Over and Alexander Ginsberg of Pillsbury... (continued)

  • Payer-Provider Consolidation Comes With New Risks

    Katherine Funk

    As health care providers and payers consolidate and take advantage of new opportunities brought about by the Affordable Care Act and health care reform, both payers and providers face new health care fraud and abuse and antitrust risks that are different from the ones they previously confronted, say Troy Barsky and Katherine Funk of Crowell & Moring LLP.

  • A Shift In Discoverability Of Litigation Hold Notices?

    Mathieu J. Shapiro

    There is no one-size-fits-all litigation hold notice and no magic language that will ensure the notice is covered by the attorney-client privilege or work product doctrine. But in light of the D.C. District Court’s new, relaxed approach to the discoverability of such notices, be sure your next one does not include confidential company information that you would regret sharing, say attorneys with Obermayer Rebmann Maxwell & Hippel LLP.

  • 2014 Health Care Enforcement Year In Review: Part 2

    Bridget M. Rohde

    In addition to bringing significant criminal prosecutions against health care providers and medical professionals in 2014, the U.S. Department of Justice and its partners aggressively utilized their civil enforcement tools, which included a number of parallel criminal and civil matters, say Hope Foster and Bridget Rohde of Mintz Levin Cohn Ferris Glovsky and Popeo PC.

  • Wells Fargo Ruling Does Little To Deter Relator Misconduct

    Douglas W. Baruch

    Despite findings that the relators in United States ex rel. Bibby v. Wells Fargo Bank NA had exhibited “a considerable lack of good faith” and acted in “blatant disregard” of the False Claims Act’s seal requirements by repeatedly “engaging in inappropriate communications with the media,” the resulting sanction amounts to a mere wrist slap, say attorneys with Fried Frank Harris Shriver & Jacobson LLP.

  • Justices Address Boundaries Of 2 FCA Defenses In KBR Case

    Kirsten Mayer

    The U.S. Supreme Court heard oral argument on Tuesday in the widely anticipated KBR Inc. case that will consider key limitations on civil fraud liability in the False Claims Act context and beyond. Several justices seemed particularly interested in whether the 1944 amendments to the Wartime Suspension of Limitations Act were enough to indicate Congress’ intent to expand significantly the scope of the statute to include civil violat... (continued)