No PRB Cost Adjustment For Segment Closings
Client Alert | 1 min read | 06.02.10
In related decisions filed on April 29, the Court of Federal Claims effectively precluded contractors from recovering any costs for unfunded post-retirement benefits (primarily retiree medical and life insurance) in connection with business segment closings, absent a specific contract provision promising to indemnify the contractor for the unfunded liability. In Raytheon v. U.S., the court held that benefits covered by so-called 401(h) subaccounts in the contractor's pension plan (a relatively uncommon situation) are not "pension benefits" and, therefore, are not subject to the segment-closing provisions of CAS 413; in Gen. Elec. Co. v. U.S., the court held that pay-as-you-go benefit plans covering retired employees and dependents (by far the more common situation) are not subject to the provisions of CAS 413 requiring "segment closing" adjustments for pension costs.
Insights
Client Alert | 4 min read | 11.10.26
D.C. District Court Upholds CMS’s 2020 Organ Procurement Rule
It’s been about a month since the U.S. District Court for the Middle District of Florida upheld the Centers for Medicare and Medicaid’s (CMS) final rule governing organ procurement organizations (OPM). (See our previous Client Alert here.) The U.S. District Court for the District of Columbia followed suit. In contrast to the Florida decision, the D.C. decision was brief and to the point. The rule establishes a competitive model for classifying OPOs under the following three tiers.
Client Alert | 8 min read | 11.10.26
EU Simplifies Rules on Defense Procurement and Transfers of Defense-Related Products
Client Alert | 3 min read | 11.09.26
Client Alert | 4 min read | 11.09.26
