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Government Contracts
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July 8, 2011
DOD Underusing Acquisition Program Oversight: GAO
The U.S. military has failed to fully utilize oversight panels designed to mitigate the cost and scheduling impacts of requirements changes on major defense acquisition programs, according to a U.S. Government Accountability Office report made available Friday.
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July 8, 2011
VA Wrongly Awarded $12B IT Contract Amid Protests: Suit
Government contractor D&S Consulting Inc. asked the U.S. Court of Federal Claims on Thursday to bar the federal government from awarding a $12 billion technology services contract to 15 vendors chosen during the contractor's pending protests to the solicitation process.
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July 8, 2011
OMB Tells Agencies To Cut Services Contracts By 15%
As part of the Obama administration's efforts to cut government waste, officials from the Office of Management and Budget told federal agencies Thursday that they must reduce spending on certain services contracts by 15 percent.
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July 8, 2011
US To Pay $100M To End Xcel Nuclear Waste Fight
The U.S. government will pay $100 million to Xcel Energy Inc. to settle suits in the Federal Circuit and the U.S. Court of Federal Claims over its failure to set up a nationwide nuclear waste storage facility, the energy company announced Friday.
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July 8, 2011
Organon, Others Want $421M Medicaid FCA Suit Tossed
Organon USA Inc., Merck & Co. Inc. and Schering Plough Corp. asked a Massachusetts federal court Thursday to dismiss a False Claims Act suit by ex-Organon employees accusing them of concocting a kickback scheme that helped overcharge the government by $421 million.
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July 8, 2011
Alleged Gangster Cops Plea In $100M Medicare Fraud Case
An alleged Armenian gangster accused of helping run the largest Medicare fraud ever prosecuted pled guilty Friday in New York to a racketeering conspiracy count, side-stepping charges directly related to the $100 million scheme.
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July 8, 2011
2nd Circ. Remands Remaining Claims In Schindler FCA Suit
Following the U.S. Supreme Court's May ruling that whistleblower suits brought under the False Claims Act could not be based on Freedom of Information Act requests, the Second Circuit on Wednesday sent surviving claims in a former Schindler Elevator Corp. employee's suit back to trial court.
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July 8, 2011
Telecom Contractor Sues Court Over Background Check
A Kentucky telecommunications company on Thursday filed suit alleging the clerk's office of a Chicago federal court canceled two service contracts totaling nearly $200,000 because a background check on the company's president incorrectly turned up a felony drug conviction.
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July 8, 2011
Property Co.'s Action Targets GSA Dispute Resolution
A Michigan property company hit the U.S. General Services Administration with a proposed class action Thursday, claiming the agency illegally subjected it and others to a dispute resolution process that did not apply to real estate contracts.
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July 7, 2011
FBI Returns Iraqi Artifacts Used In Contractor Fraud
The FBI on Thursday returned stolen Iraqi artifacts — some of them 4,000 years old — that were uncovered during a probe into corruption and bribery by contractors working for the U.S. Department of Defense.
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July 7, 2011
Sheppard Mullin Can Stay In PVC Qui Tam Suit: Judge
A California federal judge on Thursday tentatively ruled not to disqualify Sheppard Mullin Richter & Hampton LLP from defending J-M Manufacturing Co. in an ex-employee’s whistleblower suit over defective PVC pipe for municipal sewers, saying a conflict with one of the plaintiffs could be managed.
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July 7, 2011
Fed. Circ. Denies Air Force Contractor's Injunction Bid
The Federal Circuit refused Thursday to grant an injunction against the U.S. Air Force while Hallmark-Phoenix 3 LLC appeals the dismissal of its challenge to the military branch's decision to insource supply vehicle operations and maintenance services the contractor previously performed.
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July 7, 2011
4th Circ. Backs US In Medicaid Overbilling Row With W.Va.
The Fourth Circuit affirmed Wednesday that the federal government was entitled to withhold Medicaid funding from West Virginia after the state failed to give the U.S. part of a settlement that ended a fight accusing Dey Inc. of inflating drug prices, causing the state to overpay.
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July 7, 2011
Judge Nixes Protest Over $243M Pa. Tech Contract
A Pennsylvania judge on Thursday rejected Computer Aid Inc.'s protest over a $243 million information technology contract with the state's Department of Public Welfare, ruling that the DPW had reasonably evaluated the offers and had not shown favoritism to the incumbent contractor.
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July 7, 2011
Teva Settles With Iowa In Wholesale Drug Suit
Iowa on Thursday settled a suit in Massachusetts accusing Teva Pharmaceuticals USA Inc. of overcharging the state's Medicare and Medicaid programs by inflating wholesale drug prices alongside other drug companies.
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July 7, 2011
US Intervenes In FEMA Trailers FCA Suit
The U.S. has intervened in a lawsuit by a former employee alleging a New Orleans company forged documents under a $28 million Federal Emergency Management Agency contract for servicing trailers following Hurricane Katrina, according to federal court records unsealed June 30.
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July 7, 2011
Q&A With Wildman Harrold's Michael Dockterman
How can I change the mind of a judge who has forgotten more law than I'll ever know, has read the papers as thoroughly as anyone in the room, and is only asking me the questions that I don't want to answer? The day I can do that, I'll know I've done some fine lawyering, says Michael Dockterman, a partner in the Chicago office of Wildman Harrold Allen & Dixon LLP.
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July 7, 2011
ArmorGroup Settles Whistleblower Suit For $7.5M
ArmorGroup North America Inc. and its affiliates have paid $7.5 million to settle an ex-employee's whistleblower suit in Washington claiming the company breached a $189 million contract to guard the U.S. embassy in Afghanistan, the U.S. Department of Justice said Thursday.
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July 6, 2011
HUD Settles Bias Suit Over Katrina Housing For $62M
The U.S. Department of Housing and Urban Development has reached a $62 million settlement to end a putative class action alleging its grant program for home rebuilding after Hurricane Katrina discriminated against black homeowners, the agency said Wednesday.
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July 6, 2011
DOD, Others Finalize Set Of 6 Contracting Rules
The U.S. Department of Defense, U.S. General Services Administration and NASA rolled out six acquisition rules Tuesday, including a final rule encouraging contractors to ban text messaging for employees driving vehicles when performing government work.