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Price Realism Requirement Must Be Stated to Allow Unacceptability Finding

Client Alert | less than 1 min read | 11.25.15

In W.P. Tax & Accounting Group (Nov. 13, 2015), GAO reminded agencies that, in fixed-price procurements, below-cost pricing is not inherently improper and cannot serve as the basis for a technical unacceptability finding when the solicitation does not provide for a price realism evaluation. Because the solicitation in W.P. said nothing about a price realism evaluation, GAO overturned the agency's rejection of the low-priced vendor's quotation as technically unacceptable and recommended that the agency either reevaluate the vendor's quotation against the stated evaluation criteria or amend the solicitation to provide for a price realism evaluation.


Insights

Client Alert | 2 min read | 05.29.26

California Assembly Passes AB 1776, Sending Major Antitrust Bill to the Senate

California’s COMPETE Act (AB 1776) narrowly passed the California State Assembly by three votes on Wednesday and now moves to the California State Senate. The bill — introduced in March by Assembly Majority Leader Cecilia Aguiar-Curry — is modeled closely on draft legislation recommended by the California Law Revision Commission in September. AB 1776 would not only significantly expand potential liability for single-firm conduct and monopolization but, based on recent amendments, would also explicitly decouple California antitrust analysis from certain federal standards. Crowell & Moring is representing the California Chamber of Commerce (CalChamber) in monitoring, analyzing, and responding to AB 1776. ...