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Suit to Stop Fair Pay and Safe Workplaces Filed

Client Alert | 1 min read | 10.13.16

On October 7, the Associated Builders and Contractors filed suit in the U.S. District Court for the Eastern District of Texas to stop implementation of the Fair Pay and Safe Workplaces (FPSW) final rule, which is scheduled to become effective on October 25 (discussed here and here). The suit (a) seeks to have the underlying FPSW executive order, final FAR rule, and DOL guidance vacated because they allegedly exceed the Executive’s authority and conflict with laws enacted by Congress; and (b) argues that the FPSW disclosure requirements violate the first amendment and due process rights of contractors by forcing them to disclose allegations of labor and employment law violations that have not been fully adjudicated.

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Client Alert | 3 min read | 11.21.25

A Sign of What’s to Come? Court Dismisses FCA Retaliation Complaint Based on Alleged Discriminatory Use of Federal Funding

On November 7, 2025, in Thornton v. National Academy of Sciences, No. 25-cv-2155, 2025 WL 3123732 (D.D.C. Nov. 7, 2025), the District Court for the District of Columbia dismissed a False Claims Act (FCA) retaliation complaint on the basis that the plaintiff’s allegations that he was fired after blowing the whistle on purported illegally discriminatory use of federal funding was not sufficient to support his FCA claim. This case appears to be one of the first filed, and subsequently dismissed, following Deputy Attorney General Todd Blanche’s announcement of the creation of the Civil Rights Fraud Initiative on May 19, 2025, which “strongly encourages” private individuals to file lawsuits under the FCA relating to purportedly discriminatory and illegal use of federal funding for diversity, equity, and inclusion (DEI) initiatives in violation of Executive Order 14173, Ending Illegal Discrimination and Restoring Merit-Based Opportunity (Jan. 21, 2025). In this case, the court dismissed the FCA retaliation claim and rejected the argument that an organization could violate the FCA merely by “engaging in discriminatory conduct while conducting a federally funded study.” The analysis in Thornton could be a sign of how forthcoming arguments of retaliation based on reporting allegedly fraudulent DEI activity will be analyzed in the future....

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