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Payback: Federal Circuit Requires Government to Reimburse under WWII-Era Indemnification Clauses

Client Alert | 1 min read | 05.15.14

In Shell Oil Co. v. United States, No. 2013-5051, 2014 WL 1661493 (Fed. Cir. Apr. 28, 2014), the Federal Circuit held that the Government must indemnify WWII-era contractors for CERCLA costs incurred as a result of environmental damage arising out of certain contracts to provide aviation gasoline (avgas) required for the war effort, under the plain language of the "Taxes" clauses in the avgas contracts. The decision, which reversed the Court of Federal Claims (discussed here), may encourage other contractors to seek Government contract-based indemnification under similar contract provisions such as "hold harmless" clauses in facilities contracts cases (Ford and DuPont) and indemnification clauses authorized under Public Law 85-804 (also discussed here, here, and here).


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Client Alert | 4 min read | 10.30.26

Two Wrongs Don’t Make a Right: GAO Sustains Protest Where Agency Tried to Fix PIA Violation with a Second PIA Violation

Recent sustain decisions by the U.S. Government Accountability Office (GAO) in Fluor Federal Solutions, LLC and Reliance Test & Technology send a clear message: when an agency tries to fix a Procurement Integrity Act (PIA) violation by committing a second one, the cure can be just as fatal as the disease. The cases involved the U.S. Air Force’s $1.8 billion procurement for O&M services at Elgin Air Force Base. During discussions, the Air Force inadvertently released a pricing overview slide with all offerors’ bottom-line evaluated costs to Reliance Test & Technology, which immediately notified the agency of the error. In response, the Air Force decided to level the playing field by providing the same information to all the other offerors in the procurement, stating, “[o]fferors may consider this disclosure in their [final proposal revision].”...