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Option Exercise Not Fully Discretionary

Client Alert | less than 1 min read | 08.29.06

Relying on CFC precedent, the GSBCA in Northrop Grumman Computing Systems, Inc. (June 26, 2006, http:// www.gsbca.gsa.gov/appeals/y1636726.pdf), reiterated that an agency by contract can restrict its normally unlimited discretion whether or not to exercise an option. In this instance, the contractor stated a valid case that the agency had violated its express duties to use its best efforts to gain funding to allow exercise of the option and not to buy other equipment to do the same job.

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Client Alert | 4 min read | 02.20.26

SCOTUS Holds IEEPA Tariffs Unlawful

On February 20, 2026, the Supreme Court issued a pivotal ruling in Trump v. V.O.S. Selections, negating the President’s ability to impose tariffs under IEEPA. The case stemmed from President Trump’s invocation of IEEPA to levy tariffs on imports from Canada, Mexico, China, and other countries, citing national emergencies. Challengers argued—and the Court agreed—that IEEPA does not delegate tariff authority to the President. The power to tariff is vested in Congress by the Constitution and cannot be delegated to the President absent express authority from Congress....