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Claim Preparation Attorney's Fees Award Affirmed

Client Alert | 1 min read | 04.29.15

In SUFI Network Servs., Inc. v. U.S. (April 24, 2015), a C&M case, the Federal Circuit affirmed the award of attorney's fees to the contractor for claim preparation granted by the Court of Federal Claims, remanding the matter back to the CFC only to recalculate the starting point for interest and to add overhead and profit to the award. The court rejected  the government's principal attacks, finding that SUFI was permitted to sue in the CFC after the CO had failed to issue a timely final decision on its claim, fees in this non-CDA case were foreseeable and recoverable as breach damages, and C&M's standard rates were reasonable, while finding merit in SUFI's cross-appeal requesting overhead and profit as part of the breach damages available under the common law.


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Client Alert | 3 min read | 04.14.26

DOJ’s False Claims Act Resolution Against IBM Signals Heightened Risk for Federal Contractors with DEI Programs

On Friday, April 10, 2026, the U.S. Department of Justice (DOJ) announced that International Business Machines Corporation (IBM) has agreed to pay just over $17 million to resolve allegations that it violated the False Claims Act (FCA) by failing to comply with federal anti-discrimination requirements incorporated into its federal contracts due to allegedly discriminatory diversity, equity, and inclusion (DEI) employment practices. This resolution marks the first FCA settlement secured by the DOJ under its Civil Rights Fraud Initiative, created in May 2025, and announced by then-Deputy Attorney General Todd Blanche as part of the administration’s coordinated efforts to target allegedly unlawful DEI practices. Per the agreement, the settlement is neither an admission of liability by IBM nor a concession by the United States that its claims are not well founded....