Project Labor Agreements (PLAs) have been controversial in the construction industry. On January 21, 2025, the United States Court of Federal Claims issued a ruling in MVL USA, Inc. et al. v. The United States that found that PLAs violate the Competition in Contracting Act (CICA). The court’s ruling is a major victory for construction contractors who have long argued that PLAs are anti-competitive. The ruling resulted from multiple consolidated bid protests that challenged the legality of mandatory PLAs in federal construction contracts, specifically as mandated by Executive Order 14063 and implemented through Federal Acquisition Regulation (FAR) provisions.
Although the decision only applies to the solicitations that were the subject of the bid protest, it is also possible that the Trump Administration will repeal the executive order that gave rise to the protest. In the meantime, it is likely that a bid protest on any pending or future solicitation that contains a PLA requirement will be sustained.
Continue Reading Court Rules that PLAs Violate the Competition in Contracting Act