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ASBCA Delivers Bad News to Contractor Who Violated SBA’s Nonmanufacturer Rule

Client Alert | less than 1 min read | 05.27.16

In Third Coast Fresh Distrib., LLC (Apr. 6, 2016), the ASBCA held that a small business’ failure to comply with the requirements of the SBA’s Nonmanufacturer Rule justified its default under a small business set-aside contract for produce delivery. Rejecting the contractor’s argument that it was only required to represent in good faith that it would comply with the requirements, the Board held that the rule was a condition of performance and, by subcontracting out delivery of the produce, the contractor had changed its performance and had become “other than small” for the procurement, which constituted a default.

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Client Alert | 5 min read | 12.23.25

An ITAR-ly Critical Reminder of Cybersecurity Requirements: DOJ Settles with Swiss Automation, Inc.

Earlier this month, the Department of Justice (DOJ) announced that Swiss Automation Inc., an Illinois-based precision machining company, agreed to pay $421,234 to resolve allegations that it violated the False Claims Act (FCA) by inadequately protecting technical drawings for parts delivered to Department of Defense (DoD) prime contractors.  This settlement reflects DOJ's persistent emphasis on cybersecurity compliance across all levels of the defense industrial base, reaching beyond prime contractors to encompass subcontractors and smaller suppliers.  The settlement is also a reminder to all contractors not to overlook the often confusing relationship between Controlled Unclassified Information (CUI) and export-controlled information....