It’s a Plane: Significant Modifications do not Result in Substantial Transformation
Client Alert | 1 min read | 03.13.17
On March 10, 2017, U.S. Customs and Border Protection published a final determination under the Trade Agreements Act that the country of origin of a Brazilian-manufactured military cargo airplane would remain Brazil, even after the aircraft undergoes significant conversion into a civil fire-fighting aircraft within the United States. According to CBP, the U.S.-origin changes to the aircraft—which include removing and adding various systems and components to install fire suppression capability—are not sufficient to change the aircraft’s “fundamental identity” and thus, do not constitute “substantial transformation.” The CBP emphasized that the aircraft would maintain its “most important” systems, the “basic structural integrity and the aerodynamics of the aircraft” would remain unchanged, and there was no evidence to demonstrate meaningful changes to the aircraft’s power, speed and range, or to the electronics and instruments used to fly the plane.
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Client Alert | 3 min read | 11.21.25
On November 7, 2025, in Thornton v. National Academy of Sciences, No. 25-cv-2155, 2025 WL 3123732 (D.D.C. Nov. 7, 2025), the District Court for the District of Columbia dismissed a False Claims Act (FCA) retaliation complaint on the basis that the plaintiff’s allegations that he was fired after blowing the whistle on purported illegally discriminatory use of federal funding was not sufficient to support his FCA claim. This case appears to be one of the first filed, and subsequently dismissed, following Deputy Attorney General Todd Blanche’s announcement of the creation of the Civil Rights Fraud Initiative on May 19, 2025, which “strongly encourages” private individuals to file lawsuits under the FCA relating to purportedly discriminatory and illegal use of federal funding for diversity, equity, and inclusion (DEI) initiatives in violation of Executive Order 14173, Ending Illegal Discrimination and Restoring Merit-Based Opportunity (Jan. 21, 2025). In this case, the court dismissed the FCA retaliation claim and rejected the argument that an organization could violate the FCA merely by “engaging in discriminatory conduct while conducting a federally funded study.” The analysis in Thornton could be a sign of how forthcoming arguments of retaliation based on reporting allegedly fraudulent DEI activity will be analyzed in the future.
Client Alert | 3 min read | 11.20.25
Client Alert | 3 min read | 11.20.25
Client Alert | 6 min read | 11.19.25
