Managing Litigation Risk During the Business Lifecycle, Part 5: Fiduciary Duties
Litigation risk is an unavoidable aspect of running a business, but with thoughtful planning, exposure can be significantly reduced. From contractual disputes to employment disputes, potential legal challenges can arise at every stage of a company’s growth. Among these challenges, disputes involving fiduciary duties pose a particularly serious risk, potentially exposing both the business and its leaders to substantial liability and reputational harm. In this fifth installment of PilieroMazza’s blog series, “Managing Litigation Risk During the Business Lifecycle,” we explore fiduciary . . . Read More
New Developments for SBA’s HUBZone Program
The U.S. Small Business Administration’s (SBA) Historically Underutilized Business Zone (HUBZone) program underwent a major rule change in January 2025, as we wrote about here . In this blog, PilieroMazza examines new developments that clarify our understanding of the HUBZone rules and how the HUBZone Program is positioned to help the Trump Administration meet its objective to grow domestic small business manufacturing. SBA’s Made in America Manufacturing Initiative At a recent event, an SBA official explained that one of the agency’s key . . . Read More
Can Contractors Recover Damages for Arbitrary CPAR Ratings? The ASBCA Weighs In
Every seasoned government contractor knows the weight a negative Contractor Performance Assessment Report (CPAR) can carry. A blemish in the CPAR System (CPARS) can mean the difference between winning a new contract or losing to a competitor—regardless of price or technical merit. Therefore, when agencies issue a negative CPAR that seems unfair or unfounded, contractors understandably seek more than just the opportunity to respond—they want recourse. A recent decision from the Armed Services Board of Contract Appeals (ASBCA) offers . . . Read More
Top 10 Killer Construction Contract Clauses, Part 2: Pay-If-Paid and Pay-When-Paid
In the world of construction, it is essential for both prime contractors and lower-tier subcontractors to carefully manage financial risk when negotiating subcontract agreements. While a party’s ability to distinguish and understand pay-if-paid and pay-when-paid clauses—a critical first step in identifying financial risk—the analysis should not stop there. To protect the rights of both the prime contractor and subcontractor, proper management of financial risk also requires knowledge of applicable state laws and the circumstances affecting the enforceability of such clauses . . . Read More
How the Boards of Contract Appeals Work—And Why It Matters for Your Bottom Line, Part 2
This week, we take a closer look at how a government contractor ends up before a Board of Contract Appeals (BCA). CDA appeals don’t appear out of thin air—it can take months, if not years, for a dispute to morph into an appeal. The choices federal contractors make along the way have a tremendous impact on their chances of successful litigation before the BCA. In this installment of our four-part series, PilieroMazza’s GovCon attorneys walk through a typical CDA dispute . . . Read More
Managing Litigation Risk During the Business Lifecycle, Part 4: M&A Transactions with Government Contractors
Transactions that involve government contracts carry a unique set of challenges. Unlike a typical merger or acquisition, deals involving government contracts require the navigation of a complex web of federal laws, regulations, security requirements, and procurement nuances that substantially impact valuation, integration, and post-closing operations. As such, in the due diligence process, it is imperative to conduct tailored due diligence to identify red flags and key value drivers that could impact the proposed transaction and reduce the risk of post-closing . . . Read More
How the Boards of Contract Appeals Work—And Why It Matters for Your Bottom Line, Part 1
When faced with the prospect of appealing an adverse decision from a contracting officer, government contractors may wonder whether it’s possible to prioritize costs, performance ratings, and future prospective contracts while engaging in litigation. The Boards of Contract Appeals (BCAs) may suit those purposes, as they aim to provide federal contractors the opportunity to have their appeal heard before an independent board of administrative judges without the expense, timeline, and formality associated with traditional litigation at the Court of Federal . . . Read More
Cybersecurity Compliance in the Crosshairs: Raytheon’s $8.4 Million FCA Settlement and What It Means for Defense Contractors
Government contractors regularly handle sensitive federal data, and cybersecurity compliance is no longer optional—it’s mandatory. A recent settlement between the Department of Justice (DOJ) and defense contractor Raytheon Company (Raytheon) highlights the critical importance of strict adherence to federal cybersecurity standards and the severe consequences of falling short. DOD contractors that neglect compliance or inaccurately represent their cybersecurity posture may find themselves facing costly False Claims Act (FCA) litigation. The Raytheon Settlement: Key Facts and Allegations On April 4, 2025, . . . Read More
New Department of Defense Policy Memo Imposes Sweeping Restrictions on Consulting, Management, Advisory Services, and Contractor Utilization
The Department of Defense (DoD) has issued a significant policy memorandum “to promote fiscal responsibility, streamline operations, and maximize [DoD] readiness and lethality.” The May 27 Memo, Implementation of Executive Order 14222 – Department of Government Efficiency Cost Efficiency Initiative Memorandum , identifies four distinct policies aimed at in-sourcing expertise, reducing reliance on external support, and harnessing the talent of existing DoD experts. This latest reform is consistent with the DoD’s ongoing efforts to phase out and eliminate reliance on consulting service contracts. Tightened Restrictions on Information Technology (IT) Consulting and Management Services The . . . Read More
Market Research Slimmed Down: How the FAR Part 10 Overhaul Impacts Government Contractors
The FAR Council’s “Revolutionary FAR Overhaul” has streamlined FAR Part 10, shifting from a prescriptive, statute-heavy approach to a leaner set of minimum requirements. While this promises faster procurements and greater agency flexibility, it also raises critical questions for small businesses and government contractors accustomed to predictable market-research triggers. In this blog, we break down what you need to know about the new FAR Part 10, which GSA has already adopted via a class deviation , effective May 22, 2025. Background FAR . . . Read More