Va. Decision Casts Doubt On Contractor Teaming Plans

Law360, New York (May 20, 2013, 10:54 PM EDT) -- A recent decision in Virginia's federal court could alter the way companies team up to win federal contracts, by invalidating preaward subcontracting agreements as unenforceable "agreements to agree" in the future.

In Cyberlock Consulting Inc. v. Information Experts Inc., U.S. District Judge James C. Cacheris nixed a teaming agreement between two companies that planned to work together on a contract with the Office of Personnel Management's Federal Investigative Services division, which performs background checks for federal employees. Cyberlock had planned to do 49 percent of the...
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