Contractor CGI Federal Wins At Fed. Circ. In CMS Audit Suit

Law360, New York (March 10, 2015, 5:11 PM EDT) -- The Federal Circuit handed CGI Federal Inc. a win Tuesday in a challenge over the Centers for Medicaid and Medicare Services' modified payment terms for recovery audit contracts, finding the disputed terms violate the Federal Acquisition Regulation’s stance against “terms inconsistent with customary commercial practice.”

In a widely watched case, a three-judge panel reversed a U.S. Court of Federal Claims ruling that found FAR Part 12 — a section governing commercial item contracting that was revised to implement the Federal Acquisition Streamlining Act — didn't apply to the CMS’ inclusion of its payment terms in an existing federal supply schedule contract....

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