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The Confusing World of Compensation Caps

Client Alert | less than 1 min read | 01.13.14

As a result of the confusing, inconsistent, and in some cases unenforceable changes made in the cost allowability rules setting caps on compensation costs in recent months, it is difficult to determine what rules apply to some contracts. We prepared the attached chart, which we hope will be useful, summarizing our understanding of the various sets of regulatory and statutory provisions that are likely to be applicable to currently active contracts as a tool for deciding how many alternative indirect cost submissions could be required.


Insights

Client Alert | 4 min read | 03.05.26

DOL’s Proposed Independent Contractor Rule Reverts to Prioritize Two Core Factors – Likely Limiting Misclassification Claims by Contractors

The U.S. Department of Labor (DOL) has proposed another revision to independent contractor regulations, one that would provide for more leeway in classifying workers as contractors. DOL’s proposed rule, published on February 26, 2026, would rescind the Biden DOL’s March 2024 independent contractor regulation and reinstate a framework substantially tracking the prior Trump rule of January 2021. The proposed rule would also apply the narrower analysis to worker classifications under the Family and Medical Leave Act (FMLA) and the Migrant and Seasonal Agricultural Worker Protection Act (MSPA). The comment period closes in late April 2026; until then, the 2024 rule remains in effect for purposes of private litigation....