DFARS Excessive Pass-Through Cost Rule Modified
Client Alert | 1 min read | 05.13.08
Effective May 13, 2008 (73 Fed. Reg. 27464), the widely-criticized interim DFARS rules about "excessive pass-through costs" published last April were modified in yet another interim rule to address the confusion created by the interim rules. The most important features of the new interim rules are in the prefatory comments, which emphasize repeatedly that the requirement for reporting when subcontract effort will exceed 70 percent applies both before and after award, but is only a reporting requirement, not a threshold for coverage, and that the rules do not apply to any contract, no matter what the subcontract content, where the contractor demonstrates "added value," a term that is defined in the interim regulations to include performance of "subcontract management functions that the Contracting Officer determines are a benefit to the Government (e.g., processing orders of parts or services, maintaining inventory, reducing delivery lead times, managing multiple sources for contract requirements, coordinating deliveries, performing quality assurance functions)."
Insights
Client Alert | 8 min read | 12.11.25
Director Squires Revamps the Workings of the U.S. Patent Office
In March 2025, President Trump nominated John A. Squires for the positions of Under Secretary of Commerce for Intellectual Property and Director of the United States Patent and Trademark Office (USPTO). After being approved by the Senate Judiciary Committee by a vote of 20-2, Squires was confirmed by the Senate on September 17, 2025, by a vote of 51-47 after anti-filibuster measures were invoked. During and after the confirmation process, Squires emphasized several goals for the USPTO during his time as Director. Such goals included:
Client Alert | 8 min read | 12.10.25
Creativity You Can Use: CJEU Clarifies Copyright for Applied Art
Client Alert | 4 min read | 12.10.25
Federal Court Strikes Down Interior Order Suspending Wind Energy Development
Client Alert | 14 min read | 12.10.25
SBA Office of General Counsel Audit of Participants in the 8(a) Program and Beyond
