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CFC Finds Unreasonable Deviation from Customary Commercial Practices

Client Alert | less than 1 min read | 10.26.11

In U.S. Foodservice, Inc. v. U.S., the Court of Federal Claims, while finding that the Army DLA Troop Support  had demonstrated a rational basis for a number of provisions that deviated from standard commercial terms and conditions in the food service industry, nonetheless enjoined the procurement because the solicitation's Most Favored Customer clause, itself a deviation from customary commercial practices, was an "irrational and unreasonable attempt towards pursuing [DLA's] overall goals of increasing transparency and reducing fraud."  The court explained that the MFC provision was overbroad and would force offerors to submit and certify a price that would include elements that are "completely untethered from ascertainable or predictable knowledge."

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Client Alert | 3 min read | 07.13.26

Amici Rally Behind Liberty Global, Urging Tenth Circuit to Rein in Economic Substance Doctrine

Following the 10th Circuit's April 21, 2026, decision affirming the disallowance of Liberty Global’s $2.4 billion deduction under the codified economic substance doctrine, I.R.C. § 7701(o), Liberty Global filed a petition for panel rehearing or rehearing en banc on June 5, 2026. That petition has since drawn significant amicus support from various industry groups representing large taxpayers, as discussed below....