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"Any Degree of Fraud" Bars Contractor Claims

Client Alert | less than 1 min read | 10.13.14

In Laguna Constr. Co. (Oct. 7), the ASBCA denied a $2.9 million claim for unpaid invoices because two of Laguna's employees had pled guilty to accepting subcontractor kickbacks under some, but not all, of the task orders under appeal. The Board imputed the fraud to the company and, applying the doctrine of "antecedent breach," held that the contractor's material breach excused the government's subsequent failure to pay for the completed and invoiced work.


Insights

Client Alert | 9 min read | 10.21.26

Artificial Intelligence in Life Sciences: Reliability of AI-Generated Evidence in Drug Discovery and Development

The life sciences sector is uniquely vulnerable to the inherent risks of AI-generated evidence in drug development and discovery. This client alert focuses on five core challenges: hallucinations, skewed predictions from unrepresentative training data, the opacity of AI reasoning, input sensitivity that undermines reproducibility, and adversarial manipulation of training data. To address these risks, companies should use experimental validation and human oversight as the common legal and regulatory safety net. This entails among other measures auditing AI outputs, characterizing training data, and structural oversight. Companies also should prepare for evolving frameworks and guidance from the U.S. Food and Drug Administration (FDA) and the European Union (EU) that address use of AI in drug discovery and development .  ...