11th Circ. Affirms Wide Discretion For Debarring Agencies

Law360, New York (January 3, 2014, 8:32 PM EST) -- The Eleventh Circuit has backed the Defense Logistics Agency in a court battle over long-term suspensions for two affiliates of indicted contractor Public Warehousing Co., issuing a bright-line ruling that will likely dissuade other affiliated companies from litigating suspensions and debarments they believe to be unfair.

The Eleventh Circuit overturned an Alabama district court decision that appealed to contractors but clashed with the typical practice of granting federal agencies significant discretion to extend suspensions to affiliated companies.

The lower court found that the DLA could suspend...
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