Government Contractor Services

Overview

Arent Fox is a recognized leader in providing the specialized legal services that become necessary when a company sells goods or services to federal and state governments. We have become recognized as the “go-to” lawyers when companies face tough government contracting problems.

We provide all of the types of government contracting legal services that are common among government contracting firms, but we are most recognized for successes where the problems are complex and clients need innovative, non-traditional solutions. We provide coordinated expertise before executive agencies, courts and Congress. We represent clients in contracts before virtually every federal defense and non-defense agency, as well as Congress and many state and local governments. Some areas where they have had success include:

• Entry of commercial companies into government markets. We assist numerous large commercial companies, first, in connection with deliberations as to whether to begin selling to government entities and, subsequently, to develop and implement business strategies, internal controls and procurement processes that facilitate successful entry into the government arena. In many instances, we have written, or helped the company write, proposals that resulted in award of the initial contracts upon which the government business then could be built.

• War on terrorism. We have handled high-profile government contracting matters, including contracts for interrogators/interpreters of Iraqi detainees, sales of anthrax vaccine and other antiterrorism technologies, post-9/11 insurance cost increases, airport screening, border security technology, government facility security, cleanup of the World Trade Center and reconstruction of the Pentagon.

• Suspension and debarment. Arent Fox has a very strong reputation for its successful representation of contractors in suspension and debarment proceedings. We have successfully ushered many companies through suspension and debarment matters, including several of the companies involved in recent highly publicized corporate integrity matters. Arent Fox also has represented contractors in proceedings before the World Bank. The head of our Government Contracts Group is a former government debarring and suspending official, and we have good working relationships with suspending and debarring officials of all major agencies.

• Ethics and compliance. Arent Fox is perhaps the foremost firm in assisting companies in implementing ethics and compliance programs. We help government contractors develop and implement ethics codes, internal controls, reporting mechanisms and other aspects of a robust ethics and compliance program. We also provide training to contractors across the country in ethics and compliance, government contracting processes, procurement fraud and other areas. Federal agencies have recognized our training programs as complying fully with their expectations and requirements.

• Security clearances and FOCI mitigation. Arent Fox is one of the leading firms in assisting companies in implementing special security agreements, proxy agreements and other arrangements to enable US companies to mitigate foreign ownership control or influence (FOCI) in order to maintain a facility security clearance and perform classified government work after being acquired by a foreign entity. We have assisted in creating a considerable number of FOCI-mitigation companies and have been particularly successful in working with Defense Security Service and Department of Energy officials to address and resolve the variety of complex issues that potentially could derail such transactions. We also represent contractors in ongoing issues that involve facility security clearances or personnel security clearances.

• Teaming arrangements. We have developed innovative teaming arrangements for major aircraft engine, missile and ship repair programs. These innovative limited liability company structures have been used for a number of significant joint ventures involving major defense contractors. In a number of instances, we have jointly represented all team members in developing a structure and agreement for the teaming arrangement. We have also represented many contractors in developing subcontract terms and conditions that are appropriate to bring about the intentions and understandings of the teaming parties.

• Mergers and acquisitions. In recent years, our lawyers have handled government contracts and antitrust clearance aspects of nearly two dozen mergers involving government contractors—most of which have been highly publicized transactions involving major contractors. We are very experienced in developing and implementing merger and acquisition strategies that take into account peculiarities and special circumstances that arise in connection with government contractors. They were pioneers in the process of securing antitrust clearance where the merging parties are Defense Department contractors and have a record of success when called on to secure government support for, or secure government opposition to, a proposed merger or acquisition. We also have successfully handled government contracts due diligence in connection with many mergers and acquisitions involving government contractors.

• Licensing and protection of intellectual property. Arent Fox is at the forefront in addressing important issues regarding licensing and protection of patents, technical data, software under government contracts and subcontracts. We specialize in providing innovative ways for contractors to protect and exploit their intellectual property. We have particular expertise in helping develop research and development strategies that enable contractors to reap the advantages of federal funding while, at the same time, providing private funding of a level and nature that is appropriate to ensure the contractor’s competitive advantage in government and commercial markets. We have represented clients in all types of research and development programs, ( 6.1, 6.2, and 6.3 science and technology programs, advanced and engineering design programs and SBIR programs) and have represented clients in dozens if not hundreds of matters involving the government’s license rights in patents, technical data and software under FAR and DFARS clauses; the government’s rights under a contractor’s commercial software licenses; commercialization of government-funded technologies through CRADAs and other licensing vehicles; and licenses between contractors as part of prime/sub arrangements, joint ventures and mergers and acquisitions. We have handled licensing and technology transfer matters, including licenses of: computer simulation algorithms for use by Hollywood movie producers; algorithms for fingerprint identification to be used in commercial security devices; government-developed medical devices for commercial sale; nanotechnology for agricultural and aerospace uses; optical and underwater sensors; fuel cell technology; sensors for detecting mad cow disease; laser technologies; missile launch technologies; classified communications technologies; landmine detection technology; backscatter scanner technology; and government-developed technologies for use in commercial Internet transactions.

• Bid protests and claims. Arent Fox has a strong record of success in the bid protest area. In the past year, we have had protest successes in connection with contract awards by, for example, the U.S. Army, the Department of Interior, the National Institutes of Health, and the General Services Administration. In the area of claims, Arent Fox recently received from the ASBCA a significant favorable decision that required the government to pay certain post-9/11 increases in insurance costs. We also handle a number of other claims pending before boards and the Court of Federal Claims, including a proceeding in the Court of Federal claims in which the amounts at issue are in the range of $100 million and important Constitutional issues are raised.

• Investigations, litigation (including qui tam) and advocacy before agencies involving procurement fraud and defective pricing. We have represented many government contractors in internal investigations of allegations of potential procurement fraud or defective pricing. We also frequently represent contractors in responding to investigations by federal agencies and Congress. We are among the leaders in the industry in handling matters that involve potential fraud and are well recognized for successes in working with government investigators and lawyers to resolve concerns, mitigate problems and avoid formal civil or criminal proceedings. Where proceedings cannot be avoided reasonably, we provide vigorous and effective representation. Many times we have successfully defended large contractors in False Claims Act qui tam suits.

• Cost reimbursement contracting and Cost Accounting Standards. We have decades of experience guiding companies through the esoteric requirements that pertain to cost reimbursement contracting and government requests for cost and pricing data. We help clients navigate the difficult issues that can arise with regard to, for example, the allowability and allocability of certain costs, internal practices and controls that pertain to government contracts accounting and the application of the Cost Accounting Standards and OMB Circular A-122 (Cost Principles for Nonprofit Organizations). We frequently represent clients in connection with cost-allowability issues that arise in connection with fraud investigations, qui tam cases and mergers/acquisitions.

• Government Services Administration Schedule contracting. Arent Fox has remained on the leading edge in addressing legal issues that arise in connection with G.S.A. Schedule contracting. We recently successfully represented two of the companies involved in allegations of G.S.A. schedule contracting improprieties in connection with the hiring of interrogators and interpreters involved with Iraqi detainees.

• Congress. We represent contractors in connection with the various activities that arise on Capitol Hill as a consequence of selling to federal agencies: obtaining legislation and report language; advice regarding appropriations law; Congressional intervention with federal agencies on behalf of contractors; investigations; and hearings.