New Limits On Use Of "Of A Type" Commercial Services
Client Alert | 1 min read | 10.19.09
Implementing statutory requirements, FAR has been amended with interim rules (74 Fed. Reg. 52852 (Oct. 14, 2009)) providing that, when purchasing services that are not offered and sold competitively in substantial quantities in the commercial marketplace but are "of a type" offered in the commercial marketplace, the services may be considered commercial items exempt from the cost or pricing data requirements of the Truth in Negotiations Act only if the contracting officer determines in writing that the offeror has submitted sufficient information to evaluate, through price analysis, the reasonableness of the price of such services. In order to make the determination required by the new regulation, the contracting officer may request the offeror to submit prices paid for the same or similar commercial items under comparable terms and conditions by both Government and commercial customers and if the contracting officer determines that such comparable information is not sufficient to determine the reasonableness of price, the contracting officer may request other relevant information regarding the basis for price or cost, including information on labor costs, material costs, and overhead rates.
Insights
Client Alert | 10 min read | 07.01.25
Ninth Circuit Decision Underscores Increasing False Claims Act Risks to U.S. Importers
On June 23, 2025, the Ninth Circuit issued a long-awaited decision in Island Industries Inc. v. Sigma Corp. affirming a $26M False Claims Act (“FCA”) judgment against the defendant importer. Sigma had appealed the judgment after a jury found the company violated the FCA by failing to pay customs duties owed to U.S. Customs and Border Protection (“CBP”). The Ninth Circuit’s decision addresses an important jurisdictional issue and illustrates the significant financial exposure importers can face under the FCA at a time of increased tariffs and enforcement by the government.
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FDA Targets Gene Editing Clinical Trials in China and other “Hostile Countries”
