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Government Sees $104 Million Verdict Vanish After Its Theory of Liability Is Rejected Post-Trial

Client Alert | 1 min read | 01.08.15

U.S. ex rel. Bunk v. Birkart Globalistics, an FCA case spanning twelve years and two jury trials, came to an apparent end when the district court set aside the jury's verdict and damages award of $104 million, ruling that the government's theory of liability failed as a matter of law. The government's upset "expectations" of competitive bidding was itself an insufficient ground for a finding of falsity, and the government failed to show that any of the cargo carriers bidding on the contracts "presented a claim for payment based on a prime rate that was, in fact, inflated because of Gosselin's alleged conduct" and failed to present sufficient evidence of damages.


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Client Alert | 14 min read | 03.13.26

AI for Government: 7 Days for Contractor Comments on GSA Proposed Contract Clause for AI Systems

On March 6, 2026, the General Services Administration (GSA) issued a significant proposed contract clause, GSAR 552.239-7001, Basic Safeguarding of Artificial Intelligence Systems (“Clause”), for inclusion in GSA Schedule solicitations and contracts for AI capabilities.  The proposed clause would impose substantial new requirements related to AI sources, intellectual property rights, data use, change management, and performance standards.  The Clause would also take precedence over any other contract terms (including commercial licensing terms) related to AI, including a Seller’s terms of sale and service to which the Government had previously agreed.  GSA requests comments by March 20, 2026....