May 16, 2019 | Law360

Gov't Contractors Fighting Suspensions Face Uphill Battle

1 min

On May 16, 2019, Diz Locaria and Emily Unnasch published "Gov't Contractors Fighting Suspensions Face Uphill Battle" in Law360. The following is an excerpt:

In JBL System Solutions LLC v. Williams, a lawsuit filed in the U.S. District Court for the Eastern District of Virginia, a service-disabled veteran-owned small business, or SDVOSB, argued that the Defense Logistics Agency improperly used debarment proceedings to punish the contractor for challenging its suspension from federal contracting.

On March 27, the court granted the plaintiff's motion to dismiss the action without prejudice. The case highlights the inherent problems in legitimately challenging an agency decision and has potentially sweeping implications for those subject to a negative responsibility determination. Accordingly, more than ever, government contractors need to be proactive in addressing responsibility matters in their overall strategy when faced with criminal or civil allegations of misconduct or fraud, or even administrative or contractual noncompliance.