Jennifer Prozinski and Christopher Griesedieck published “Contractor Liability When Directing Subcontractor Workforce” in Law360. The following is an excerpt:
Federal programs often require individuals employed by multiple corporations and the federal government to work together.
To ensure the project is successful, the prime contract and any related subcontracts often grant one party the right to make decisions regarding whether and how another party's employees participate in the project—e.g., the government may reserve the right to approve all key personnel substitutions.
But a Jan. 7 decision from the Court of Appeals of Virginia in Kruml v. Booz Allen Hamilton Inc. underscores the legal risks that arise when a prime contractor exercises this right by directing the subcontractor to remove its personnel from working on a federal program.
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