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Unfortunate Change To Settlement Fees And Costs Allowability Law

Client Alert | 1 min read | 05.21.09

Reversing the ASBCA decision in Tecom, Inc., ASBCA Nos. 53884 et al., 07-2 BCA ¶ 33,674 (Sept. 21, 2007), the Court of Appeals for the Federal Circuit holds in Geren v. Tecom, Inc., No. 2008-1171 (May 19, 2009), that legal fees and costs incurred in connection with settling a private action for employment discrimination unrelated to fraud will be allowable only if the contractor can establish that the private plaintiff had very little likelihood of success on the merits. This ruling, which will be discussed next week at Crowell & Moring's OOPS conference, will greatly complicate the determination of allowable costs and place the responsible government contracting officer in the difficult position of second-guessing each settlement decision.

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Client Alert | 4 min read | 02.20.26

SCOTUS Holds IEEPA Tariffs Unlawful

On February 20, 2026, the Supreme Court issued a pivotal ruling in Trump v. V.O.S. Selections, negating the President’s ability to impose tariffs under IEEPA. The case stemmed from President Trump’s invocation of IEEPA to levy tariffs on imports from Canada, Mexico, China, and other countries, citing national emergencies. Challengers argued—and the Court agreed—that IEEPA does not delegate tariff authority to the President. The power to tariff is vested in Congress by the Constitution and cannot be delegated to the President absent express authority from Congress....