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Subcontracts Prime Contractor Subcontractors

Venable LLP

"The Government's Just Not That into You" - Can a Prime Contractor Terminate Its Subcontractor Just Because Someone in the...

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Federal contracts famously include a clause permitting the government to terminate the agreement for the government's own "convenience"—even if the contractor did not default on its performance obligations. Aware of this...more

Bradley Arant Boult Cummings LLP

Incorporation Clauses: Does the Subcontractor Really Assume All Obligations of the Prime Contractor?

Many subcontracts contain a catch-all provision requiring the subcontractor to do everything the prime contractor is obligated to do under the prime contract. This is known as an “incorporation” clause because it adopts or...more

Williams Mullen

New Virginia Prompt Payment Statutes Invalidate Most 'Pay When Paid' Clauses

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On April 27, 2022, the Virginia General Assembly passed Senate Bill 550, which makes “pay when paid” and “pay if paid” clauses unenforceable in most circumstances and requires both public and private construction contracts to...more

Williams Mullen

The Benefits of Commercial Item Contracting

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Commercial Item Contracting is intended to benefit both the government and contractors, but those benefits can sometimes get lost in the shuffle. Reminding the parties why Commercial Item Contracting was implemented can help...more

Williams Mullen

Negotiating Subcontracts From Both Sides

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Although they share an ultimate customer, the interests of a prime contractor and a subcontractor are often divergent. Careful consideration and negotiation of subcontract terms can help to ensure there is a fair balance...more

PilieroMazza PLLC

The Importance of a Carefully-Drafted Work-Share Provision - Set-Aside Alert

PilieroMazza PLLC on

Subcontracts contain a number of important provisions that shape the relationship between a prime contractor and its subcontractor. However, there is one provision that overshadows the rest in terms of its significance to the...more

PilieroMazza PLLC

Consequences for Large Primes Not Hitting Subcontracting Plan Goals

PilieroMazza PLLC on

The U.S. Government Accountability Office (“GAO”) recently ruled that the Defense Logistics Agency (“DLA”) properly excluded a large business prime contractor’s proposal from the competitive range based in part on the...more

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