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Contractor’s Role as Prime and Sub Under Same Program Upheld

Client Alert | less than 1 min read | 06.30.15

In Enterprise Info. Servs., Inc. v. DHS (June 16, 2015), the Civilian Board of Contract Appeals ruled that a contractor could perform as both a prime and a subcontractor in different functional categories on the agency's EAGLE II program. The Board rejected DHS's argument that a "news alert" prohibiting that practice acted as a modification and had a legal effect on the prime contract in its current state, but the decision did not foreclose DHS from formally modifying the contract to prohibit the practice.

 

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