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Claim Accrues Before an Impasse

Client Alert | less than 1 min read | 09.28.11

In Sys. Dev. Corp v. McHugh (Fed. Cir., Sept. 26, 2011), the Federal Circuit rebuffed a contractor’s attempt to save its claim for equitable adjustment from the six-year statute of limitation by arguing that, because it was combined with a termination proposal, the claim did not accrue until they had reached an impasse on the termination.  This puts contractors at risk for losing claims that they might, for business or other reasons, initially decide not to pursue but might later want to advance, e.g., to combat a loss ratio application in a termination setting.

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Client Alert | 3 min read | 06.12.26

DOJ Guidance Backs Away From Disparate Impact Liability

On June 9, 2026, the U.S. Department of Justice (DOJ) issued a formal opinion concluding that the Equal Opportunity Employment Commission’s (EEOC) existing interpretations of Title VII of the Civil Rights Act of 1964 (Title VII) disparate-impact liability, including the Uniform Guidelines on Employee Selection Procedures (UGESP), are unconstitutional. According to the opinion, EEOC’s prior interpretations contemplate liability based on disproportionately adverse effects alone, without regard to an employer’s likely intent, rather than treating disparate impact as an evidentiary mechanism to “smoke out” intentional discrimination. DOJ found that this approach functions as a “qualified racial-proportionality mandate” that places “a racial thumb on the scales, often requiring employers to evaluate the racial outcomes of their policies, and to make decisions based on (because of) those racial outcomes.” The opinion fulfills one mandate of Executive Order 14281, which rejected disparate-impact liability insofar as it “creates a near insurmountable presumption that unlawful discrimination exists wherever there are any differences in outcomes among different [demographic groups].”...

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