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Industry Attacks Latest DOD Business Systems Rule

Law360 (January 11, 2011, 7:08 PM EST) -- The latest version of a proposed rule allowing the U.S. Department of Defense to withhold payment to contractors with faulty business systems still fails to provide businesses with adequate guidance, industry groups said in a letter released Tuesday.

The revised proposal, released Dec. 3, does a better job of defining business systems and imposing proportionate penalties, but there are still “significant concerns” with the attributes of the individual business systems and the withholding process that must be addressed, said the letter from the Council of Defense...
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