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Appropriations Act Will Shake Up Contractor Suspensions

Feb.03.2012 — Government Contracts Law360

Washington, D.C.-based chair of Crowell & Moring's Government Contracts Group, Angela B. Styles, speaks to Government Contracts Law360 about the Consolidated Appropriations Act of 2012. The Act will exclude companies from government contracts by preventing agencies from contracting with companies convicted of a crime unless they first formally consider using suspension or debarment tools.

According to Styles, "The statute applies to 'corporations,' not 'contractors,' opening up ambiguities about how it should be applied if a contractor's affiliated companies are the ones that are convicted." She also added that "the appropriations language for most of the affected agencies — but not the DOD — also triggers the ban if an 'officer or agent' of a corporation is convicted or owes taxes, adding another layer of ambiguity, as the executive branch works out how to define 'agent' in this context."

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Related Professionals: Angela B. Styles
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