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‘Tis the Season: Contracting Officer’s Final Decisions on 2011 Incurred Costs

Client Alert | 1 min read | 07.02.18

For contractors that use a fiscal year that ends on 12/31 and submitted their 2011 incurred cost submissions to the Government in June of 2012, the 6-year deadline for the Government to assert a claim disallowing a portion of those costs is upon us.  As a practical matter, DCAA’s well-documented audit backlog means that some COs are likely to receive audit reports only weeks before the deadline (or not at all), and may be inclined to issue COFDs disallowing all of the costs identified in DCAA’s audit reports, in order to preserve the Government’s right to pursue a claim.  Contractors should be mindful of the 90-day limit to appeal a Final Decision even where they expect to negotiate a resolution with the Government.

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Client Alert | 5 min read | 06.01.26

California Court Upholds Insurer’s Duty to Defend After Covered Claim Is Dismissed

On April 30, 2026, the U.S. District Court for the Northern District of California issued a significant ruling in an insurance coverage dispute between a commercial general liability insurer and its policyholder. The decision addresses several critical issues in insurance law, including the scope and continuity of the duty to defend and the standard for insurer reimbursement of defense costs in mixed-claim actions. The court ruled largely in favor of the insured, SVO Building One, LLC ("SVO"), and the matter now heads toward settlement or trial on SVO's remaining counterclaims....