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Board Finds Liability For Constructive Receipt of Pension Plan Assets at Plan Merger

Client Alert | 1 min read | 06.18.07

Determining entitlement on an appeal by ICI Americas, Inc. (May 23, 2007), of an Army claim for $80 million in surplus pension assets, the ASBCA held that (1) until a contractor “receives” (meaning “to take possession or delivery of”) money, the government has no basis for recovery of a credit under the credits clause, FAR 31.201-5; (2) where no pension costs are paid under a particular contract subject to FAR 31.205-6(j), but not subject full CAS coverage, the CAS 413.50(c)(12) segment closing provisions are not applicable to the contract through FAR 31.205-6(j); (3) a contractor constructively receives pension assets through a pension plan merger and must in accordance with FAR 31.205-6(j)(4), Termination of Defined Benefit Pension Plans, refund the government the equitable portion of any overfunding; and (4) the Board could admit expert reports and testimony that included interpretative material on CAS, affording appropriate weight to such interpretations."

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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....

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