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"Yardstick" Measures Failure to Progress in A-12 Default Termination

Client Alert | 1 min read | 05.11.07

In the latest opinion in the 16-year A-12 litigation, McDonnell Douglas Corp. v. United States, No. 91-1204C (Fed. Cl. May 3, 2007) the Court of Federal Claims, on remand from the Federal Circuit, upheld default termination of the fixed-price research and development contract based upon a failure to make progress -- even though the full contract "had no completion date at [the time of] termination." With no completion date for the full contract, the Court instead used a "yardstick" to measure the contractors' progress, holding that (1) the Court could use a series of interim deadlines for the production of prototype aircraft to define both the "performance required" and the "time remaining for performance"; and (2) at the time of termination, there was sufficient information available for the contracting officer to have concluded there was no reasonable likelihood of delivery under those deadlines (even if the contracting officer did not, in the event, make the default termination decision based upon that "available" information).

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Client Alert | 5 min read | 06.05.26

Grants Overhauled: What the Proposed Rewrite of 2 CFR Part 200 Means for Federal Financial Assistance Award Recipients

The Office of Management and Budget issued on May 29, 2026 a Proposed Rule that would significantly revise the Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) at 2 C.F.R. Part 200, potentially impacting the full lifecycle of federal grants, cooperative agreements and other forms of financial assistance, from pre-award merit review through post-award administration and termination. These proposed changes are designed to implement the President’s policy priorities, executive actions related to diversity, equity and inclusion (DEI) activities, and Executive Order No. 14332, Improving Oversight of Federal Grantmaking (EO 14332)....