Letter of Intent: A Seller’s Friend or Foe?
For a business owner, the sale of the company is the final act in the life cycle of the company (TargetCo). It represents the business owner’s opportunity to cash out on and be rewarded for his or her vision, ingenuity, years of hard work, sacrifice and risk-taking. Typically, after some confidential discussions and limited sharing of a TargetCo’s financial and non-financial information, a critical, next step in the sale process is negotiating and entering into a letter of intent (LOI) . . . Read More
Claims Webinar Series: Contract Terminations
Presented by: Jon Williams and Michelle Litteken.
No Longer on Hold: SBA Resumes 7(a) Lending to Small Businesses
The 7(a) lending program is back on track. Last month, President Obama signed into law a bill that would raise the SBA’s lending authorization ceiling to $23.5 billion for its flagship lending program. With the bill’s signing, the SBA resumed loan approvals and small businesses are again able to get loans backed by the federal government. On July 23, 2015—just a few days before the president put pen to paper—the SBA maxed out its $18.75 billion lending limit for small . . . Read More
Government Contractors Beware: Trying to Fit A Square Peg into A Round Hole
By Kimi Murakami What may be standard in the corporate world can severely disrupt set-aside status in the highly-regulated government contract space. Take the recently-decided case of Precise Systems. This decision presents another cautionary tale of why it is so critical for contractors to understand the SBA rules–or to talk to lawyers who do–before entering into corporate restructuring transactions. In the final decision issued by Chief Judge Patricia Campbell-Smith in the case of Precise Systems, Inc. v. U.S., No. 14-1174C (Fed. Cl., . . . Read More
Comments on the Proposed Rule Regarding Small Business Subcontracting Improvements
Includes: Establishing subcontracting goals in terms of total contract dollars Contracting officers discretion Prime contractor responsibilites
Ninth Circuit Eases Ability for Whistleblowers to Bring Qui Tam Actions
In an important development under False Claims Act (“FCA”) case law, the U.S. Court of Appeals for the Ninth Circuit has expressly abrogated former precedent limiting the ability of whistleblowers to recover funds reimbursed to the Federal Government under the FCA to a greater degree than in many other circuits. The case is United States ex rel. Hartpence v. Kinetic Concepts, Inc., No. 12-55386 (9th Cir. July 7, 2015). Generally, the FCA prohibits the knowing submission to the Federal Government . . . Read More
Comments on Proposed Rule Regarding Small Business Subcontracting Improvements
After the recent small business subcontracting plan changes were implemented by the U.S. Small Business Administration (“SBA”) in its final rule at 78 Fed. Reg. 42391 , dated July 16, 2013, many of our clients have asked us how the SBA’s new rules should be interpreted in light of the existing FAR small business subcontracting requirements. We believe that the FAR Councils are taking the right steps to harmonize the SBA’s requirements with the obligations the FAR imposes. However, we believe that there are . . . Read More
A Look At The Numbers: 2015 Government Contracting Annual Report
Some very interesting data, trends, and analysis of government contracting, which should be of interest to government contractors, was published in a recent report by the National Contract Management Association (NCMA) and Bloomberg Government (Bloomberg). Some of the data should come as no surprise to firms seeing how U.S. government contracting dollars continue to be declining. According to the report, titled “Annual Review of Government Contracting, 2015 Edition,” contract spending will likely continue to fall due to budget caps and the . . . Read More
PilieroMazza Legal Advisor – Third Quarter 2015
In this Issue: Now’s the Time for SBA to Expand WOSB-Eligible Industries 8(a) Applicants: Unlock Your Potential to Succeed The “Trickle Down” Audit Drafting Valid Liquidated Damages Provisions
The Importance of Preservation of Electronically Stored Information in Contract Disputes
Contract disputes, whether over performance, payment or interpretation of terms, are an inevitability of doing business and, in an ideal world, when they arise they would all be resolved through compromise and agreement. But we do not live in an ideal world, and contract litigation appears to be on the uptick as the economy improves. Whereas in the “old days” the largest part of your contract file might have been taken up by the contract itself, the Information Age has . . . Read More