The Small Business Administration (“SBA”) recently issued a favorable decision on behalf of a firm client in a size determination case, and we wanted to share information from that decision with you. While the decision is unpublished, it serves as a reminder of an important exception to the small business contracting rules relating to joint ventures and set aside contracts.
Continue Reading SBA Size Protest Reminds Us That There is an Exception to Every Rule
Third Circuit Allows for Offset when Calculating Loss in DBE Fraud Cases
In United States v. Nagle, the Third Circuit provided instruction on how to calculate the amount of “loss” defendants are attributed when being sentenced in a Disadvantaged Business Enterprise (“DBE”) fraud case. Going forward, in a DBE fraud case, the loss calculation must include consideration of the fair market value of the services rendered to the government under the affected contract, or contracts.
Continue Reading Third Circuit Allows for Offset when Calculating Loss in DBE Fraud Cases
Government Right to Require Strict Compliance with the Specifications Does Not Justify Economic Waste
The government has the right to insist upon strict compliance with the contract specifications. However, the government does not have an unlimited right to require corrective work when it is not really necessary and amounts to economic waste. In other words, just because a contractor has failed to comply with the precise requirements of the
Dredging Contractor Fails to Prove Differing Site Conditions
Although a contractor encountered subsurface conditions in a dredging project that it may not have anticipated, it was unable to prove that the hard material was a differing site condition. The contractor’s claim was that it had encountered a Type I differing site condition. The Armed Services Board of Contract Appeals denied the claim, stating