IR&D Definition Clarified
Client Alert | 1 min read | 03.19.10
In a decision that should resolve finally nearly 40 years of disagreement between contractors and the government about the definition of Independent Research and Development (IR&D), the Federal Circuit has held in ATK Thiokol Inc. v. U.S. (Mar. 19, 2010), that R&D effort must be "specifically required" by the terms of a contract in order to be excluded from the definition of allowable IR&D costs, endorsing the contractors' argument that effort that is "implicitly" required in order to perform the contract or "necessary" to perform but not explicitly required by the contract is allowable IR&D. In addition, and perhaps even more important, the decision acknowledges more generally in its analysis of the distinction between direct and indirect costs that "CAS 402 gives the contractor considerable freedom in the classification of particular costs, so long as the contractor maintains consistency in making that determination."
Insights
Client Alert | 3 min read | 02.11.26
Employers are increasingly relying on artificial intelligence and automated decision systems (ADS) in workplaces across California and the world as avenues to boost productivity or achieve cost savings. However, some state legislators have raised concerns about the lack of worker protections and oversight in discipline and termination decisions made by ADS.
Client Alert | 3 min read | 02.11.26
Client Alert | 4 min read | 02.11.26
Consolidated Appropriations Act Introduces Sweeping Reforms for Pharmacy Benefit Managers
Client Alert | 3 min read | 02.10.26
UK FCA Proposes New Sustainability Disclosure Rules for Listed Companies
