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Government Contracts
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March 29, 2024
Navy Overspent $399M In Ukraine Funding In 2022, DOD Says
The U.S. Department of Defense said that lax financial controls in the U.S. Navy's budgeting system led it to overspend nearly $400 million in funds intended to help Ukraine following Russia's 2022 invasion, which has also increased the risk of triggering a possible Antideficiency Act violation in the future.
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March 29, 2024
RTX Cut From Deal Due To Worker's 'Likely' NDA Violation
RTX Corp. can't be part of an anti-missile technology program following its hiring of a former naval analyst who may have violated a non-disclosure agreement while still employed with the Navy, a U.S. Court of Federal Claims decision unsealed Friday shows.
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March 29, 2024
L3Harris Accuses Moog Of Delays In Subdeals Worth $77.9M
L3Harris Technologies Inc. has hauled fellow defense contractor Moog Inc. into Florida federal court, alleging that Moog failed to timely deliver critical satellite parts under several subcontracts worth $77.9 million, despite the U.S. government requiring expedited delivery for national defense purposes.
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March 29, 2024
Exxon Docs In $1.8B Case Should Be Unsealed, Judge Told
The government asked a Texas federal judge to wave away protests by Exxon Mobil Corp. to keep its documents sealed in a case over $1.8 billion in contested tax benefits for a joint venture with Qatar, saying Thursday that the energy giant threatens unnecessary disputes at trial.
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March 29, 2024
Up Next After Bankman-Fried Sentencing: FTX Cooperators
Now that FTX founder Sam Bankman-Fried has been sentenced to 25 years in prison for an $11 billion fraud on the collapsed crypto exchange, it's time for the three top lieutenants who testified against him at trial to face their own judgments — and experts say the cooperators are well positioned to avoid jail time.
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March 29, 2024
Dominion Wants County Sanctioned In Voting Machine Row
Dominion Voting Systems Inc. wants a Pennsylvania county to pay its legal bills over allegedly rehashed claims that its voting machines had security issues in violation of the county's contract, since a federal court had already tossed those claims.
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March 29, 2024
Convicted Energy Grant Fraudster Loses 1st Circ. Appeal
The First Circuit rejected the appeal of a Massachusetts man who was convicted of submitting fraudulent applications for federal grant money under the guise of needing it for energy projects, ruling that the verdict was backed by strong evidence.
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March 29, 2024
Gov't Contracts Of The Month: Super Hornets And Chips
This March, the Pentagon ordered a final batch of the "Top Gun: Maverick"-featured Super Hornet fighter plane from The Boeing Co., tapped IBM to create a trusted semiconductor enclave and devoted $1 billion to cracking down on nuclear smuggling abroad. These are some of the most noteworthy government contracts over the last month.
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March 29, 2024
Off The Bench: Ohtani Woes, Va. Ends Arena Plan, Pac-12 Deal
In this week’s Off The Bench, MLB superstar Shohei Ohtani tries to untangle himself from a gambling scandal, Virginia’s rejection sends two D.C. pro franchises back home, and the Pac-12 pays up to two schools that were left behind. If you were sidelined this week, Law360 will catch you up with the sports and betting stories that had our readers talking.
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March 28, 2024
White House Directs Agencies To Install AI Risk Safeguards
The White House on Thursday issued a new directive requiring all federal agencies to address safety and civil rights risks in their use and procurement of artificial intelligence in an array of settings, including conducting screenings at airports and making decisions affecting Americans' healthcare, employment and housing.
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March 28, 2024
8th Circ. Won't Revive Fannie, Freddie Investors' FHFA Suit
The Eighth Circuit on Thursday refused to revive Fannie Mae and Freddie Mac investors' suit alleging the Federal Housing Finance Agency's leadership and financial deals violated the U.S. Constitution, saying the investors failed to show how they were harmed by the now-upended restrictions on removing the agency's director.
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March 28, 2024
Medical Lab Inks $2.1M Deal To End NC's False Claims Probe
A North Carolina lab will pay back $2.1 million to the state's Medicaid program after settling an investigation into how it charged the public health program for tests, the state attorney general's office announced Thursday.
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March 28, 2024
GAO Faults State Dept. Reversal On Consulate Build Award
The U.S. Government Accountability Office backed an Illinois construction company's challenge to losing a deal to build a U.S. consulate compound in Turkey, rejecting the U.S. Department of State's contention that the company wasn't the same entity that met security prequalifications.
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March 28, 2024
Former Prison Contractor Must Pay $112K, 6th Circ. Says
The Sixth Circuit on Thursday affirmed a National Labor Relations Board decision ordering a former Federal Bureau of Prisons contractor and a Michigan halfway house to pay around $112,000 to two fired workers, supporting the agency's conclusion that the entities are liable for back pay.
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March 28, 2024
Faruqi & Faruqi Beats 5 Firms To Lead NewAge Investor Suit
A Colorado district judge has selected two clients of Faruqi & Faruqi LLP to lead an investor class action accusing the executives and directors of wellness company NewAge Inc. of securities fraud, saying the plaintiff with an even bigger financial interest is unfit for appointment because he hid his "troubling" background.
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March 28, 2024
5th Circ. Nixes License For NM Nuke Storage Site
The Fifth Circuit wiped out the U.S. Nuclear Regulatory Commission's license for a temporary nuclear waste storage facility in New Mexico, citing its August 2023 ruling finding the agency lacks authority to license a separate facility in Texas.
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March 28, 2024
Spokeo Accused Of Flouting NJ Judicial Protection Law
Spokeo Inc., the people search database provider, violated New Jersey state law by not removing information about law enforcement personnel from its database after requests were filed, a data privacy company contends in a lawsuit.
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March 28, 2024
Texas Wins Court Bid To Vacate Feds' Highway GHG Rule
A Texas federal judge has dealt the Biden administration a blow by vacating a new Federal Highway Administration rule requiring states to set targets for reducing greenhouse gas emissions from federally funded highway projects, saying Congress never gave the agency that authority.
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March 28, 2024
DOL Says Challenge To Prevailing Wage Rule Can't Stand
The U.S. Department of Labor said four entities failed to support their assertion that the department's final rule regulating prevailing wages will hurt them, urging a Texas federal court to toss those claims.
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March 27, 2024
SD Gov. Seeks Federal Funds Audit Of Tribal Law Enforcement
South Dakota Gov. Kristi Noem has asked President Joe Biden's administration to conduct a thorough audit of federal funding for the state's nine Native American tribes, saying additional law enforcement resources are urgently needed on reservation lands.
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March 27, 2024
Governor Directs Pa. To Use More Project Labor Agreements
Pennsylvania Gov. Josh Shapiro announced Wednesday that he is directing state agencies to consider including project labor agreements — pre-hiring collective bargaining agreements that can cover multiple contractors and labor unions — in all major capital projects.
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March 27, 2024
Navajo Sue Feds Over Withheld Forestry Program Funds
The Navajo Nation claims the U.S. Department of the Interior unlawfully withheld more than a million dollars in funding for its contracted forestry management program, telling a D.C. federal judge the department should be forced to provide the money and accept the funding agreements proposed by the nation.
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March 27, 2024
DOE, Holtec Ink $1.5B Loan To Restart Mich. Nuclear Plant
The U.S. Department of Energy on Wednesday unveiled an up to $1.52 billion loan to Holtec Palisades aimed at financing a first-of-its-kind nuclear power plant restoration project for the previously shuttered Palisades Nuclear Plant in Covert Township, Michigan.
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March 27, 2024
Boston Strikes Novel Deal To Contract For Offshore Wind
Boston Mayor Michelle Wu on Wednesday announced a novel deal between the city and energy company Avangrid Inc. to purchase up to 15 megawatts of wind-generated electricity from the company, contingent on Avangrid winning a multistate bidding process for new offshore development.
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March 27, 2024
City Leaders Nix Plan To Move Wizards, Caps To Virginia Site
Plans for the NBA's Washington Wizards and NHL's Washington Capitals to move from the nation's capital to a $2 billion sports and entertainment complex in northern Virginia came to an abrupt halt Wednesday afternoon, when the city of Alexandria, Virginia announced that its negotiations with Monumental Sports & Entertainment and owner Ted Leonsis "will not move forward.''
Expert Analysis
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Opinion
FinCEN Regs Must Recognize Int'l Whistleblower Realities
In drafting regulations to implement an anti-money laundering whistleblower program, the Financial Crimes Enforcement Network must follow the mandates laid out in the White House’s global anti-corruption strategy to protect and compensate whistleblowers in extreme danger worldwide, says Stephen Kohn at Kohn Kohn.
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Opinion
3 Ways Justices' Disclosure Defenses Miss The Ethical Point
The rule-bound interpretation of financial disclosures preferred by U.S. Supreme Court Justices Samuel Alito and Clarence Thomas — demonstrated in their respective statements defending their failure to disclose gifts from billionaires — show that they do not understand the ethical aspects of the public's concern, says Jim Moliterno at the Washington and Lee University School of Law.
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Caregiver Flexibility Is Crucial For Atty Engagement, Retention
As the battle for top talent continues post-pandemic, many firms are attempting to attract employees with progressive hybrid working environments — and supporting caregivers before, during and after an extended leave is a critically important way to retain top talent, says Manar Morales at The Diversity & Flexibility Alliance.
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No End In Sight For Pandemic Relief Fraud Enforcement
Congress' recent decision to extend the statute of limitations to 10 years for fraud related to pandemic relief means the era of enforcement actions brought under the False Claims Act and the Financial Institutions Reform, Recovery and Enforcement Act has only just begun, say attorneys at Crowell & Moring.
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Strike Force Actions Underscore Foreign Risks For Tech Cos.
As recent prosecutions demonstrate, a multiagency strike force is ramping up enforcement of trade secret theft and export control violations, and companies will need to be proactive in protecting their sensitive technologies from foreign adversaries, say attorneys at McGuireWoods.
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Questions To Ask Before Drafting Proposals With AI
Before federal contractors adopt AI tools to simplify their proposal writing, they should ask questions about how a given AI tool’s model was developed, and consider the procedures they will need to avoid cookie-cutter submissions and ensure accuracy, privacy and security, among other practical and legal considerations, say attorneys at Wiley.
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In-Office Engagement Is Essential To Associate Development
As law firms develop return-to-office policies that allow hybrid work arrangements, they should incorporate the specific types of in-person engagement likely to help associates develop attributes common among successful firm leaders, says Liisa Thomas at Sheppard Mullin.
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Trends Emerge In High Court's Criminal Law Decisions
In its 2022-2023 term, the U.S. Supreme Court issued nine merits decisions in criminal cases covering a wide range of issues, and while each decision is independently important, when viewed together, key trends and takeaways appear that will affect defendants moving forward, says Kenneth Notter at MoloLamken.
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Perspectives
A Judge's Pitch To Revive The Jury Trial
Ohio state Judge Pierre Bergeron explains how the decline of the jury trial threatens public confidence in the judiciary and even democracy as a whole, and he offers ideas to restore this sacred right.
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How To Recognize And Recover From Lawyer Loneliness
Law can be one of the loneliest professions, but there are practical steps that attorneys and their managers can take to help themselves and their peers improve their emotional health, strengthen their social bonds and protect their performance, says psychologist and attorney Traci Cipriano.
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Opinion
Litigation Funding Disclosure Should Be Mandatory
Despite the Appellate Rules Committee's recent deferral of the issue of requiring third-party litigation funding disclosure, such a mandate is necessary to ensure the even-handed administration of justice across all cases, says David Levitt at Hinshaw.
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Recalling USWNT's Legal PR Playbook Amid World Cup Bid
As the U.S. Women's National Soccer Team strives to take home another World Cup trophy, their 2022 pay equity settlement with the U.S. Soccer Federation serves as a good reminder that winning in the court of public opinion can be more powerful than a victory inside the courtroom, says Hector Valle at Vianovo.
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Revalidation Unlikely To End NIH Tech-Deal Bid Protest Saga
Recent U.S. Government Accountability Office decisions requiring the National Institutes of Health to again rework a $50 billion information technology contract probably won't result in an award for many protesters, and the corrective action will likely be followed by more protests, say James Tucker and Damien Specht at MoFo.
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It's Not You, It's Me: Breaking Up With Mass. FCA Prosecutors
A recent Massachusetts U.S. Attorney's Office settlement, which required a hospital to admit to certain facts, continues a state trend away from traditionally defense-friendly nonadmission language and may complicate the prospects of amicably resolving future False Claims Act cases, say Jonathan York and Scott Memmott at Morgan Lewis.
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Contract Disputes Recap: Timeliness, Evidence, Fact-Finding
Edward Arnold and Bret Marfut at Seyfarth Shaw look at three recent opinions from three stages of government contract claims litigation about avoiding untimeliness by ticking procedural boxes, supporting factual positions at the summary judgment stage and how the appellate boards review default terminations.