Carolina Espinoza

Top 10 Killer Construction Contract Clauses, Part 4: Retainage Provisions

Retainage is a contractual practice that is unique to the construction industry.  Most construction contracts entitle project owners as well as lower-tiers to withhold a percentage of each progress payment to contractors or subcontractors until the contracted work is substantially or finally completed.  Retainage ensures that contracted work is completed properly, incentivizes timely completion of the work, and provides financial leverage attendant with defects in construction.   While contracts largely govern the specific terms as to how much retainage will be . . . Read More

OFCCP Again in the Crossfire: Impact on Federal Government Contractors

On March 2, 2026, the Director of Office of Federal Contractor Compliance Programs (OFCCP) informed OFCCP staff that the agency would be undergoing a complete reorganization and restructuring, moving various staff members to a new branch and consolidating other divisions. All affected positions will likely see updates to job descriptions that reflect the reorganization. Additional details regarding to which branches or divisions OFCCP staff will be moved is not yet known. In light of these changes, employers with ongoing OFCCP . . . Read More

Workforce Reclassified: Understanding DOL’s “New” Independent Contractor Classification Rule

On February 26, 2026, the Department of Labor (DOL) announced a long-awaited proposed rule— again adjusting how the DOL views the appropriate classification of workers as “employees” or “independent contractors” under the Fair Labor Standards Act (FLSA). Consequences of worker misclassification can be significant not only for wages and benefits but for various employment protections, for example the Family and Medical Leave Act (FMLA). Therefore, employers should be aware of changes to the independent contractor rule and evaluate their policies . . . Read More

Contract Claims 101: Common Disputes and How to Best Prepare for Them, Part 2

Last month,  PilieroMazza ’s  REAs, Claims, and Appeals Group  published the first blog in its “Contract Claims 101” series, introducing federal contractors to the basics of requests for equitable adjustment (REAs), claims, and appeals. This month, we’re analyzing the broad categories of contract administration disputes we expect to form the basis of federal contractors’ REAs, claims and appeals in 2026. In this second blog, we introduce federal contractors to disputes regarding stop work orders, terminations, and Contractor Performance Assessment Reports (CPARs), and how best to prepare at the . . . Read More

Buying or Selling: Navigating the New Landscape of 8(a) M&A Transactions

Click  here  to view the recorded session. Buying or selling a government contracting business remains a nuanced process—especially when 8(a) contracts are involved. Recent updates to SBA guidance, increased scrutiny post-Ultima, and heightened compliance expectations added new layers of complexity to transactions involving 8(a) companies. Whether you’re a current 8(a) participant, a recent graduate, or a buyer interested in acquiring such a business, it’s critical to understand how these developments affect ownership transfers, eligibility, and long-term contract value. Join us for . . . Read More

GovWin IQ: FAR Overhaul Prompts Compliance Uncertainty for Contractors, Says Sam Finnerty

The so-called “Revolutionary FAR Overhaul” (RFO), launched after the issue of Executive Order 14275 (Restoring Common Sense to Federal Procurement) in April 2025, is the most sweeping rewrite of the Federal Acquisition Regulation (FAR) in its 40-year history. The long-term intent of the RFO is to simplify and streamline federal procurement, but certain concerns raised by FAR legal experts raise the question if its rollout is actively generating compliance risk for contractors. . . . Rather than follow a traditional . . . Read More

Is Your Government Settlement Really Final? The Pratt & Whitney Decision Raises Doubts

In 1984, Steve Jobs introduced the Macintosh personal computer to the United States, Arnold Schwarzenegger hit the silver screen as The Terminator, and Pratt & Whitney began its now four-decade-long fight with the Defense Contract Management Agency (DCMA). The battle continues, as the Federal Circuit’s latest decision in what may be the longest-enduring cost‑accounting dispute in the history of government contracts—Secretary of Defense v. Pratt & Whitney, 160 F.4th 1224 (Fed. Cir. 2025)—still has not resolved the underlying Cost Accounting . . . Read More

DOD Releases Intellectual Property Guidebook: Key Insights for Defense Contractors, Part 4

In May 2025, the Department of Defense (DOD) released its Intellectual Property Guidebook (Guidebook), providing contractors with invaluable insights into how DOD handles Intellectual Property (IP) and data rights in government contracts. In this final installment of PilieroMazza’s blog series, we dive into data rights assertions, data rights marking requirements, and data rights disputes and challenges.  Visit this link to access Parts 1-3 in this series. Data Rights Assertions and Marking Requirements                          . . . Read More

What You Don’t Know Can Hurt You: Recent Federal Circuit Argument Highlights Why Intervening in Bid Protests is Critical

Contractors spend months, if not years, preparing a bid on a single federal contract. So, when the investment pays off and you win the contract, it is a punch to the gut to see a competitor protest your award. Awardees all too often assume the procuring agency and/or the Department of Justice (DOJ) will adequately defend the procurement. Awardees don’t just take the punch, but they get in the ring and punch back as an intervenor in the protest. For . . . Read More

SVOG Alert: SBA Demands Supplemental Documents from Grant Recipients Who Appealed SBA’s Decision to Rescind Their SVOG Grants

In July 2025, we wrote that the Small Business Administration (SBA) had begun issuing letters to recipients of grant funds under the $16.25 Billion COVID-era Shuttered Venue Operators Grant (SVOG) program, rescinding grant recipients’ eligibility for the program and demanding full or partial repayment of the grants years after award. SBA gave grantees 30 days to file an appeal. SBA continued issuing rescission letters to grantees through at least October 2025, including to grantees whose SVOG awards had been fully closed . . . Read More