GAO Finds NIH Failed to Refer SDVOSB Offeror’s Capability to SBA
In a recently published GAO decision , GAO sustained a SDVOSB’s protest of its exclusion from the competitive range by NIH under the CIO-SP3 SB GWAC procurement. The CIO-SP3 SB RFP required an evaluation of proposals in two phases. NIH evaluated offerors in Phase 1 under four “Go/No-Go” requirements, including factor 2, management approach, subfactor 1, domain-specific capability in a health-related mission. NIH found the protester’s proposal unacceptable under this factor/subfactor because the protester’s proposal was “not sufficient to demonstrate inherent capabilities . . . Read More
Managing the Competing Obligations of the FMLA and ADA
An employee asks for over 12 weeks of leave for an illness under the Family and Medical Leave Act (FMLA)—does this also constitute a request for accommodation under the Americans with Disabilities Act (ADA)? The interplay between the ADA and the FMLA presents significant challenges for employers as the company grows. Employers with more than 15 employees must comply with the ADA, while employers with more than 50 employees must comply with both the ADA and the FMLA. Both require . . . Read More
Checklists for Small Business Corporate Housekeeping
By Kimi Murakami It’s spring and it seems like a good time to make sure your corporate records, documents, and information are in order. We’ve had several blog posts recently about getting ready to sell your company. One of the key pieces in an acquisition transaction is the scrutiny of the target company’s records and documents. The following checklists will help you clean up the records and documents of your small business. Entity Formation Basics Your corporate record book or . . . Read More
Contractor Execs Not Subject to Individual Whistleblower FCA Claims, Says Federal Judge
In a recent Memorandum Opinion, T.S. Ellis, III, U. S. District Judge for the Eastern District of Virginia, has ruled that the retaliation provision of the False Claims Act (“FCA”) does not permit a whistleblower plaintiff to sue individual employees of a corporate employer. In Irving v. PAE Government Services, Inc., et al., No. 1:16cv1617 (E.D. Va. Apr. 11, 2017), plaintiff was a former Deputy Program Manager and Chief of Security for defendant PAE Government Services, Inc. (“PAE”) in Kabul, Afghanistan. . . . Read More
Plan Your Success – the LOI
By Dana Livne During our April 26, 2017 webinar, we discussed Letters of Intent (LOI) and the important role they can play in transactions. The LOI often serves as a roadmap or initial term sheet between a buyer and seller. The LOI is generally “non-binding”, meaning that the parties may deviate from its terms. The purchase price, due diligence process milestones, and financing terms are examples of non-binding provisions that may be subject to negotiation as the deal progresses. . . . Read More
Earn-Outs in M&A Transactions: Red Flag Issues that Government Contractors Should Avoid
By Michael A. de Gennaro Government contractors who wish to grow by purchasing an existing business are aware of one simple truth: The value of the target is linked directly to its ability to transfer its existing contracts. If there is a high risk profile—for example, if assets of the target are subject to novation in connection with the acquisition—then a purchaser is likely to seek either a downward adjustment in the purchase price or to propose deferred compensation, such . . . Read More
Understanding Government Contract Terminations
It is important for prime contractors to understand what it means if its contract with the Federal Government is terminated and what rights and obligations it has. Nearly every Government contract contains a clause allowing the Government to terminate a contract either for convenience or for default (also known as for cause). The Government may terminate your contract, or a portion of your contract, for convenience when it is in the Government’s interest. Essentially, this means that the Government has made . . . Read More
Get a Handle on Changing Leave Laws
Picking up work across states can be challenging for any employer, particularly with respect to employment law, and it’s not getting any easier. Recently, a number of states and localities are proposing and passing sick and family leave laws, each with differences, making it challenging for employers to comply with and pay for the additional benefit. States are motivated by the federal government’s failure to address paid sick and family leave broadly at the federal level. As a result, states . . . Read More
Government Asking for More Transparency on Federal Contracts Over 150K
By Dana Livne and John Shoraka For years the federal government has attempted to increase transparency in the federal marketplace and last month, U.S. Senators Claire McCaskill (D-MO) and Jon Tester (D-MT) introduced a bill that would require the posting online of the exact details of all government contracts worth $150,000 or more. The bill, “Contractor Accountability and Transparency Act of 2017”, seeks to implement a “machine-readable, searchable copy of each covered contract entered into by a Federal agency”. If the . . . Read More
4th Circuit Sets Forth Test for Determining What Constitutes “Joint Employer” for FLSA Purposes
In a pair of recent cases, the U.S. Court of Appeals for the 4th Circuit (which hears appeals from the federal courts of Maryland, Virginia, West Virginia, North Carolina and South Carolina) has set forth what will hereafter be the applicable test in those jurisdictions when determining whether two or more entities constitute “joint employers” for purposes of the Fair Labor Standards Act (“FLSA” or “the Act”). The FLSA, 29 U.S.C. §§ 201, et seq., requires employers covered by the Act . . . Read More