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Government Contracts
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October 16, 2024
County Asks Judge To Let State Court Handle Detention Issue
An Indiana county asked a federal court on Tuesday to refrain from hearing immigrant detainees' claims that it violated a duty to "take care" of them, saying the question involves complex local issues that should be resolved by a state court.
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October 16, 2024
Feds Say EPA Not Responsible For Flint Water Crisis
The U.S. Environmental Protection Agency on Wednesday sought to shake claims from Flint, Michigan, residents alleging the agency did not properly respond to the water crisis, telling a Michigan federal judge it had no part in switching the town's water source or corrosion control efforts.
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October 16, 2024
Mich. Landfill Says Manhattan Project Waste A National Issue
A Michigan dump site on Tuesday said a dispute over whether it can accept radioactive material from the first atomic bomb project is a matter of national concern, arguing attempts by a group of surrounding communities in state court to block it from accepting the waste interferes with a federal waste program.
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October 16, 2024
SEC Data Contractor Faked Audit Certification, Feds Say
The CEO of a company that received roughly $11 million from the U.S. Securities and Exchange Commission to provide data infrastructure services was charged in D.C. federal court with creating a shell entity to fraudulently claim his business was certified for high-level reliability and security, prosecutors announced Wednesday.
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October 16, 2024
Houston Pharma Exec Found Guilty In $160M Health Fraud
A Houston man was convicted on 15 criminal charges in connection with orchestrating a massive healthcare scheme that defrauded the government out of $160 million, following a 10-day trial in which prosecutors said doctors were "bamboozled" by the conspiracy.
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October 16, 2024
'Fat Leonard' Faces 11 Years For Navy Bribery Scheme
Federal prosecutors are seeking more than 11 years in prison for Leonard Francis, the Malaysian defense contractor and ex-fugitive known as "Fat Leonard" who led a sprawling bribery and corruption scheme that allegedly caused over $20 million in losses for the U.S. Navy.
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October 16, 2024
RTX To Pay $1B For Qatari Bribes And Defrauding US Gov't
RTX Corp. and its Raytheon subsidiary have agreed to pay approximately $1 billion and enter into two separate deferred prosecution agreements in connection with a bribery scheme to secure Qatari military contracts, as well as separate ploys to defraud the U.S. government in deals for Patriot missile and radar systems.
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October 15, 2024
Boeing Judge Wants DEI Monitor Pick Info Before Plea Ruling
The Texas federal judge overseeing prosecutors' criminal case against The Boeing Co. on Tuesday said he needs more information on a provision of the proposed plea deal regarding how the U.S. Department of Justice would select an independent monitor in compliance with the agency's diversity and inclusion policies.
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October 15, 2024
New Cybersecurity Rules Threaten Defense Industrial Base
The Pentagon's stringent new cybersecurity rule for its contractors threatens to drive away companies that may struggle with the added costs of compliance, while exacerbating concerns about an already-shrinking defense industrial base.
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October 15, 2024
Feds Cut Whistleblowers Out Of Kickback Deal, Court Told
Whistleblowers who accused a medical device company of a kickback scheme said Tuesday that the government left them out to dry when it settled False Claims Act claims with surgeons for $3.3 million and refused to share any of it with them.
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October 15, 2024
Aerospace Firm Must Hand Over Bank Accounts To Buyer
A Colorado state judge entered an emergency order Monday forcing a Colorado aerospace company that sold its assets to California-based Interconnect Solutions Co. for $15 million to turn over its business accounts to ISC, which said the accounts are needed to perform work for customer Lockheed Martin.
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October 15, 2024
Lit Funder-Backed Co. Says NJ Judicial Privacy Law Is Valid
A New Jersey judicial privacy law is not unconstitutional since it requires that defendants act negligently by knowingly violating the law, a data privacy company said in seeking to prevent the dismissal of dozens of lawsuits, which the company also acknowledged are being funded by third-party litigation funder Parabellum Capital LLC.
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October 15, 2024
Law Firms Diverge As Anti-ESG Pushback Continues
A continuing onslaught of legislation and litigation opposing corporate environmental, social and governance actions has created a fork in the road for law firms, with some choosing to scale back efforts and others pushing ahead with their internal ESG and diversity, equity and inclusion goals.
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October 15, 2024
The 2024 Law360 Pulse Social Impact Leaders
Check out our Social Impact Leaders ranking, analysis and interactive graphics to see which firms stand out for their engagement with social responsibility and commitment to pro bono service.
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October 15, 2024
Justices Let Solicitor General Argue In E-Rate Fraud Case
The Solicitor General's Office will defend private citizens' ability to sue for E-rate fraud on behalf of the government under the False Claims Act, after the U.S. Supreme Court on Tuesday granted the solicitor general's request to participate in oral arguments in an AT&T subsidiary's challenge to the law's application.
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October 15, 2024
Ill. Home Health Kickbacks Ruling Intact After Justices Pass
The nation's top court said Tuesday it won't review a Seventh Circuit decision largely affirming that a home health care company broke federal kickback laws, leaving intact its holding that the company must pay millions in damages.
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October 11, 2024
Quinn Emanuel Gets Trimmed $92M Fee In ACA Cases
Quinn Emanuel Urquhart & Sullivan LLP will get $92 million in fees from a $3.7 billion win in two class actions against the government over risk corridor payments under the Affordable Care Act, a U.S. Court of Federal Claims judge ruled Thursday, trimming the firm's renewed $185 million request.
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October 11, 2024
Challenge To $60.7B Deal's Award Cap Is Late, Judge Says
Protesters to a $60.7 billion IT deal couldn't convince the U.S. Court of Federal Claims that the U.S. Department of Veterans Affairs arbitrarily limited spots to 30 companies, with a judge saying that argument should have been raised earlier.
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October 11, 2024
Secret Docs May Delay Foreign Agent Case, Ex-Fla. Rep Says
A former Florida congressman told a Miami federal judge on Friday that he's requested evidence from prosecutors that may exonerate him on criminal charges of failing to register as a foreign agent while lobbying for Venezuela, saying the discovery implicates classified information that may delay proceedings in his case.
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October 11, 2024
DOD Finalizes High-Profile Contractor Cybersecurity Rule
The U.S. Department of Defense on Friday finalized a rule implementing its sweeping Cybersecurity Maturity Model Certification program, which will attach a minimum cybersecurity requirement to nearly all DOD contracts.
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October 11, 2024
DOJ Tells Judge Boeing Plea Is 'The Best The Gov't Could Do'
The federal government told a Texas federal judge Friday that its proposed deal with The Boeing Co. over allegations that it lied to safety regulators about the 737 Max 8's development is "the best the government could do," pushing back against vehement objection from crash victims' families, who called the deal "rotten" and "morally reprehensible."
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October 11, 2024
Indicted NJ Power Broker Says Civil Suit Belongs In Biz Court
Indicted Garden State power broker George E. Norcross III has asked a New Jersey state judge to transfer the civil racketeering suit brought against him and his attorney brother by a Philadelphia developer to the state's complex business litigation program.
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October 11, 2024
RTX Warned By Judge Over 'Troubling' Settlement Delay
A Massachusetts federal judge on Friday chided RTX for slow-walking the finalization of a settlement the defense contractor struck with a Connecticut company just before trial in a trade secrets dispute.
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October 11, 2024
Nippon To Sell JV Stake For $1 In Push To Close US Steel Deal
Japan's Nippon Steel said Friday it has agreed to sell its stake in a 50-50 joint venture with ArcelorMittal to the European steelmaker for just $1, as Nippon seeks to address any antitrust concerns over its planned $14.9 billion acquisition of U.S. Steel.
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October 10, 2024
Colo. Wolf Release Challenge Loses Some Of Its Bite
A federal judge on Thursday dismissed most claims in a lawsuit challenging Colorado environmental agencies' plan to reintroduce gray wolves from Oregon, concluding that the state's plan wasn't a major federal action, so the Colorado federal court couldn't hear the claims against the state.
Expert Analysis
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Opinion
Time To Reimagine The Novation Process For Gov't Contracts
The Federal Acquisition Regulatory Council, which recently extended a long-standing request for public comments on its novation procedures, should heed commenters' suggestions by implementing specific changes in its documentation requirements, thereby creating a more streamlined and practical novation process, say attorneys at Covington.
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3 Leadership Practices For A More Supportive Firm Culture
Traditional leadership styles frequently amplify the inherent pressures of legal work, but a few simple, time-neutral strategies can strengthen the skills and confidence of employees and foster a more collaborative culture, while supporting individual growth and contribution to organizational goals, says Benjamin Grimes at BKG Leadership.
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How Justices' E-Rate Decision May Affect Scope Of FCA
The U.S. Supreme Court’s eventual decision in Wisconsin Bell v. U.S., determining whether reimbursements paid by the E-rate program are "claims" under the False Claims Act, may affect other federal programs that do not require payments to be made by the U.S. Department of the Treasury, says David Colapinto at Kohn Kohn.
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E-Discovery Quarterly: Rulings On Hyperlinked Documents
Recent rulings show that counsel should engage in early discussions with clients regarding the potential of hyperlinked documents in electronically stored information, which will allow for more deliberate negotiation of any agreements regarding the scope of discovery, say attorneys at Sidley.
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Loper Bright Limits Federal Agencies' Ability To Alter Course
The U.S. Supreme Court's recent decision to dismantle Chevron deference also effectively overrules its 2005 decision in National Cable & Telecommunications Association v. Brand X, greatly diminishing agencies' ability to change regulatory course from one administration to the next, says Steven Gordon at Holland & Knight.
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What Cos. Should Note In DOJ's New Whistleblower Pilot
After the U.S. Department of Justice unveiled a new whistleblower pilot program last week — continuing its efforts to incentivize individual reporting of misconduct — companies should review the eligibility criteria, update their compliance programs and consider the risks and benefits of making their own self-disclosures, say attorneys at Skadden.
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Motion To Transfer Venue Considerations For FCA Cases
Several recent decisions highlight the importance for practitioners of analyzing as early as possible whether a False Claims Act case warrants a change of venue, and understanding how courts weigh certain factors for defendants versus whistleblowers, say Ellen London at London & Stout, and Li Yu and Corey Lipton at DiCello Levitt.
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Series
After Chevron: New Lines Of Attack For FCA Defense Bar
Loper Bright has given defense counsel new avenues to overcome the False Claims Act elements of falsity and scienter, as any FCA claim based upon ambiguous statutory terms can no longer stand solely on agency regulations to establish the statute's meaning, which is itself necessary to satisfy the FCA's basic requirements, says Elisha Kobre at Bradley Arant.
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Series
Teaching Scuba Diving Makes Me A Better Lawyer
As a master scuba instructor, I’ve learned how to prepare for the unexpected, overcome fears and practice patience, and each of these skills – among the many others I’ve developed – has profoundly enhanced my work as a lawyer, says Ron Raether at Troutman Pepper.
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SolarWinds Ruling Offers Cyber Incident Response Takeaways
The New York federal court's dismissal of all charges related to the 2019 Sunburst cyberattack is a devastating blow to the U.S. Securities and Exchange Commission's cybersecurity case against SolarWinds, but the well-reasoned opinion provides valuable lessons that may improve companies' defensive posture in the wake of a major cybersecurity incident, say attorneys at Troutman Pepper.
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Lawyers Can Take Action To Honor The Voting Rights Act
As the Voting Rights Act reaches its 59th anniversary Tuesday, it must urgently be reinforced against recent efforts to dismantle voter protections, and lawyers can pitch in immediately by volunteering and taking on pro bono work to directly help safeguard the right to vote, says Anna Chu at We The Action.
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PE Firms Should Prepare For Increased False Claims Scrutiny
The impact private equity firms may have over medical decisions and care is increasingly attracting potential liability under the False Claims Act and attention from states and the federal government, so investors should follow best practices including conducting due diligence both before and after acquisitions, say attorneys at K&L Gates.
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Pros And Cons Of 2025 NDAA's Space Contracting Proposal
The introduction of a Commercial Augmentation Space Reserve fleet in the pending 2025 National Defense Authorization Act presents a significant opportunity for space and satellite companies — despite outstanding questions, and potential risks, for operators, say attorneys at Wiley.
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3 Healthcare FCA Deals Provide Self-Disclosure Takeaways
Several civil False Claims Act settlements of alleged healthcare fraud violations over the past year demonstrate that healthcare providers may benefit substantially from voluntarily disclosing potential misconduct to both the U.S. Department of Justice and the U.S. Department of Health and Human Services, say Brian Albritton and Raquel Ramirez Jefferson at Phelps Dunbar.
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Heading Off Officials' Errors When Awarded A Gov't Contract
Government contractors awarded state or local projects funded through federal programs should seek clarification of their compliance obligations, documenting everything, or risk having to defend themselves when they seek reimbursement months later, with only their word for support, says George Petel at Wiley.