News & Analysis as of

Defense Contracts

Defense Contractors to Face New Cost Accounting Oversight with Creation of Defense Cost Accounting Standards Board

Section 820 of the National Defense Authorization Act for Fiscal Year 2017 (“NDAA”) establishes a new Defense Cost Accounting Standards Board (“D-CASB”) to oversee the application of the Cost Accounting Standards (“CAS”) to...more

The World in US Courts: Orrick's Quarterly Review of Decisions Applying US Law to Global Business and Cross-Border Activities

Alien Tort Statute (ATS)/Political Question Doctrine/Foreign Sovereign Immunity Act (FSIA)/ Act of State Doctrine - District Court Dismisses ATS Claim Where Alleged Conduct in US was not Directly Linked to Injuries...more

Did the FAR Lose Its Mojo in the Government Contracts World? Depends

by Burr & Forman on

It’s not everyday that you read about one of your longtime heroes, the Federal Acquisition Regulations (“FAR”), losing some of its mojo. The Nash & Cibinic Report read as follows: “The FAR: Does It Have Contractual Force and...more

Hail to . . . The Contracting Officer in Chief? - Donald Trump, Lockheed Martin and the Art of the Government Deal

by Pepper Hamilton LLP on

The art of the deal in government contracts is much more complex than in the private sector because public policies and principles attach to the use of public funds. President Donald Trump has made his federal...more

Warning Shot Fired (Finally) at Improper DCAA Cost Disallowance Basis

For a number of years, contractors have been required to expend substantial sums challenging baseless legal theories initiated by the Defense Contract Audit Agency (DCAA) and rubber-stamped by the Defense Contract Management...more

False Claims Act: 2016 Year in Review

We are pleased to present Bradley’s annual review of significant False Claims Act (FCA) cases, developments, and trends. From a relatively short article several years ago, the Review has grown to a significant publication...more

Switches and Sweets: Belsnickel Brings Defense Contractors and Subcontractors New Cybersecurity Controls in Preholiday Revisions...

by McCarter & English, LLP on

If you are aware of German Christmas folklore (and really, who isn’t?), you know that Belsnickel is a legendary companion of St. Nick who carries a switch with which to punish naughty children and a pocketful of sweets to...more

Presidential Pulse: 10 Key Ways the Trump Administration May Impact The Way You Do Business in 2017

by Seyfarth Shaw LLP on

Today marks just over a month since Donald Trump was elected as the next President of the United States. As each cabinet appointment is announced, we get more clues to help us predict which direction the Trump...more

National security reviews: A global perspective — United States

by White & Case LLP on

Deals are generally approved, but a wide range of mitigation conditions may be imposed that can have a significant impact. The Committee on Foreign Investment in the United States (CFIUS), which is led by the US...more

DoD’s Proposed Rule Would Create Additional Risk and Burdens for Contractors Handling Export-Controlled Information

The Proposed Rule creates a procedure for DoD to release unclassified technical data subject to EAR and ITAR to “qualified contractors,” which are defined to mean qualified U.S. and Canadian contractors. The Proposed Rule...more

DoD Updates Cyber Incident Reporting Rule

by Jackson Lewis P.C. on

On October 4, 2016, a final rule implementing statutory requirements for Department of Defense (DoD) contractors and subcontractors to report cyber incidents that result in an actual or potentially adverse effect on a covered...more

Cross Your Heart and Hope to Die – New DFARS Clauses Target Counterfeit Electronic Parts

On August 2, 2016, the Department of Defense (“DOD”) rolled out new requirements for defense contractors that provide electronic parts and assemblies containing electronic parts. The new rules impose significant risks on DOD...more

ASBCA Questions Consideration of Materiality in Certain Cost Accounting Change Cases

by Perkins Coie on

The Armed Services Board of Contract Appeals (ASBCA or the Board) recently released a decision addressing the final issue of materiality in the long saga of the Raytheon accounting change case. ASBCA No. 58068, August 9,...more

Reforma de las impugnaciones a licitaciones de la Oficina de Fiscalización del Gobierno (GAO) de EE. UU.

Los debates en Washington D.C. sobre gastos asociados con las impugnaciones a licitaciones relacionadas con la defense estimulan nuevas leyes que podrían reducir los intentos de la protesta. La Oficina de Fiscalización del...more

India Heralds Radical Change in FDI Policy

by Morgan Lewis on

With amendments to its foreign direct investment policy, India seeks to attract foreign investment in the country. On June 20, the government of India (GOI) issued a press release announcing major changes to its foreign...more

House Armed Services Committee Adopts Amendment To 2017 National Defense Authorization Act Exempting Defense Contractors From...

On April 28, 2016 the U.S. House of Representatives Armed Services Committee adopted an amendment to the National Defense Authorization Act (the “Amendment”), which would exempt federal defense contractors from compliance...more

Government Contractors Brace For Continuing Changes in Cybersecurity Regulations

The federal government has responded to recent data breaches by making cybersecurity a top priority, and it continues to consider and implement a number of regulations that affect government contractors. Over the past...more

"Insights Conversations: Developments in US Export Controls"

The U.S. export control system has undergone major reform in recent years, and companies have experienced both increased enforcement of export control laws and fines for violations, with more changes on the way. Skadden...more

The FCPA Risks of Teaming in the Defense Industry

As reported in the December 25, 2015 New York Times (NYT) article, “U.S. Foreign Arms Deals Increased Nearly $10 Billion in 2014,” “foreign arms sales by the United States jumped by almost $10 billion in 2014, about 35...more

Department of Defense Revises Landmark Cybersecurity Rule, Extends Deadline for Some Compliance Requirements

by WilmerHale on

On December 30, 2015, the Department of Defense (DoD) issued a second interim rule on Network Penetration Reporting and Contracting for Cloud Services, amending an earlier version issued on August 26, 2015. The new, amended...more

Court Denies Counsel’s Attempt To Use Confidential Documents Obtained In Reinsurance Arbitration In Separate Litigation

by Carlton Fields on

A reinsurer that was engaged in a London arbitration against a captive insurer of a defense contractor for the U.S. Navy had obtained documents from the Navy subject to a an agreed confidentiality protective order limiting...more

Arbitration Award That Attempted To Indirectly Adjudicate Non-Party Vacated As Exceeding Arbitrator’s Authority

by Carlton Fields on

The dispute involved whether a defense contractor, its owners, and its captive insurance companies (collectively, “OSI”) were entitled to a return of their premiums from a non-party insurer (“PoolRe”) that serviced a risk...more

Contractors Beware: An Overly Broad Confidentiality Agreement Could Cost You!

On October 29, 2015, DOD renewed the DFARS deviation implemented in February, which prohibits contracting with entities that require employees or subcontractors to sign internal confidentiality agreements or statements that...more

An Overbroad Confidentiality Agreement Could Cost Your Company a DoD Contract, or Worse

by Blank Rome LLP on

Action Item: Defense contractors should promptly examine their personnel policies and employee confidentiality agreements to avoid a serious risk created by a new DoD Contract Clause and Certification. If a contractor’s...more

Recent Data Suggests Contractors Are Getting A Fair Shake Before The ASBCA

by Holland & Knight LLP on

The Armed Services Board of Contract Appeals recently released its Report of Transactions and Proceedings for FY2015. The data reveals some interesting trends and provides useful guidance for contractors considering their...more

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Cybersecurity

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