A contractor's ability to receive payment in a prompt manner is critical to contract performance and economic health. With these matters and our clients in mind, Crowell & Moring government contracts lawyers have focused on developing strategies to efficiently handle contract payment and funding issues that may arise.

The Issues

Contractors are typically paid based upon completion or partial completion of their work, and financing may be provided in the form of progress payments or advance payments. The Federal Acquisition Streamlining Act added provisions for performance-based payments for certain contracts.

In this setting, we frequently counsel or litigate matters involving the following:

  • Anti-Deficiency Act requirements
  • Limitation of cost and limitation of funds restrictions
  • Prompt payment
  • Suspension or reduction of progress payments
  • Setoffs
  • Electronic funds transfers
  • Judgment fund payments