January 2025

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

A contractor who is proposed for debarment is effectively debarred as soon as the notice letter is received. It is like being sentenced before trial, and it can take weeks or months for the contractor to convince the debarring official that the proposed debarment should be lifted. A new rule, effective January 17, 2025, amends the Federal Acquisition Regulation (FAR) to improve consistency between procurement and non-procurement procedures regarding suspension and debarment but does not remove the exclusionary effect of a proposed debarment. The final rule, a collaboration between the Department of Defense (DoD), General Services Administration (GSA), and National Aeronautics and Space Administration (NASA), is purportedly intended to make the process more transparent and fair. Continue Reading Changes to the Suspension and Debarment Rules in 2025