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New Executive Compensation Limits

Client Alert | 1 min read | 06.28.13

On June 26, 2013, the government issued an interim rule that purports to expand the application of the executive compensation benchmark, currently set at $763,029, from senior executives to all contractor employees performing on contracts awarded as of December 31, 2011, by DoD, NASA, and the Coast Guard. As discussed in our blog posting, this interim rule, which is effective immediately, is intended to make any compensation costs incurred after January 1, 2012, over the benchmark amount unallowable for contracts subject to the FAR cost principles, but challenges to this rule based on the terms of the Allowable Cost and Payment clause might result.


Insights

Client Alert | 14 min read | 03.13.26

AI for Government: 7 Days for Contractor Comments on GSA Proposed Contract Clause for AI Systems

On March 6, 2026, the General Services Administration (GSA) issued a significant proposed contract clause, GSAR 552.239-7001, Basic Safeguarding of Artificial Intelligence Systems (“Clause”), for inclusion in GSA Schedule solicitations and contracts for AI capabilities.  The proposed clause would impose substantial new requirements related to AI sources, intellectual property rights, data use, change management, and performance standards.  The Clause would also take precedence over any other contract terms (including commercial licensing terms) related to AI, including a Seller’s terms of sale and service to which the Government had previously agreed.  GSA requests comments by March 20, 2026....