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New Limits on Contractor Compensation Costs

Client Alert | less than 1 min read | 01.06.14

Two statutes passed by Congress in the waning days of 2013, the FY 2014 National Defense Authorization Act (NDAA) and the Bipartisan Budget Act (BBA), reduced the allowable compensation costs for employees of government contractors to $625,000 and $487,000, respectively, and both statutes were signed by the President on December 26. Although Congress passed the BBA with the lower cap before the NDAA, the President signed the BBA after he signed the NDAA and it seems likely that the lower cap in the BBA will be applied to new cost-reimbursement contracts awarded 180 days or more after the statute was signed, as provided in the BBA.


Insights

Client Alert | 9 min read | 10.21.26

Artificial Intelligence in Life Sciences: Reliability of AI-Generated Evidence in Drug Discovery and Development

The life sciences sector is uniquely vulnerable to the inherent risks of AI-generated evidence in drug development and discovery. This client alert focuses on five core challenges: hallucinations, skewed predictions from unrepresentative training data, the opacity of AI reasoning, input sensitivity that undermines reproducibility, and adversarial manipulation of training data. To address these risks, companies should use experimental validation and human oversight as the common legal and regulatory safety net. This entails among other measures auditing AI outputs, characterizing training data, and structural oversight. Companies also should prepare for evolving frameworks and guidance from the U.S. Food and Drug Administration (FDA) and the European Union (EU) that address use of AI in drug discovery and development .  ...