Top 5 Gov’t Contracts Cases to Watch: Midyear Report
The second half of 2021 could see courts weigh in on significant issues for government contractors, such as when they have waived their right to protest, as well as a wave of litigation related to COVID-19 relief funding.
Here are five cases that government contractors should watch closely during the remainder of the year:
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The COVID-related enforcement actions the U.S. Department of Justice has announced to date have involved obvious examples of fraud, such as people falsely claiming millions of dollars for nonexistent employees at newly formed companies.
“So far, they're picking off the easy ones, the PPP loans where people went and bought the Lamborghini or the money ended up going directly to somebody’s personal bank account, or they didn’t have any employees, or it was a new company that wasn’t even in operation,” Blank Rome LLP partner Merle DeLancey said. “That's ripe fruit, easy to pick.”
But that is only “the tip of the iceberg,” and given the scope of spending under the COVID relief programs, “there’s going to be some big companies” caught up in FCA cases at some point, DeLancey said.
“I just don't think you’ve even seen the big targets yet,” he said.
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“Top 5 Gov’t Contracts Cases to Watch: Midyear Report,” by Daniel Wilson was published in Law360 on July 29, 2021.