PilieroMazza PLLC. RSS Feedhttps://www.pilieromazza.com/?t=39&format=xml&directive=0&stylesheet=rss&records=10en-us19 Sep 2019firmwisehttp://blogs.law.harvard.edu/tech/rssGrowth through Joint Ventures and Mentor-Protégé Relationshipshttps://www.pilieromazza.com/?t=40&an=95882&format=xml08 Nov 2019Events<table width="100%" border="0" align="center" cellpadding="1" cellspacing="1"> <tbody> <tr> <td><strong><br /> Speaker:<br /> <br type="_moz" /> </strong></td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td><a href="https://www.pilieromazza.com/attorneys/details/peter-b-ford/15" target="_blank">Peter Ford</a> and <a href="https://www.pilieromazza.com/attorneys/details/meghan-f-leemon/30" target="_blank">Meghan Leemon</a></td> </tr> <tr> <td><br /> <strong>Program:<br /> <br type="_moz" /> </strong></td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>Growth through Joint Ventures and Mentor-Prot&eacute;g&eacute; Relationships</td> </tr> <tr> <td><br /> <strong>Date/Time:<br /> <br type="_moz" /> </strong></td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>November 8, 2019 / 3:30 PM CT</td> </tr> <tr> <td><strong><br /> Event:<br /> <br type="_moz" /> </strong></td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>Business Beyond the Battlefield Conference 2019</td> </tr> <tr> <td><br /> <strong>Organizer:<br /> <br type="_moz" /> </strong></td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>National Veteran Small Business Coalition (NVSBC)</td> </tr> <tr> <td><br /> <strong>Location:</strong><br /> &nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td><br /> Live! By Loews<br /> 1600 East Randol Mill Road<br /> Arlington, TX 76011<br /> &nbsp;</td> </tr> <tr> <td><br /> <strong>Registration:</strong><br /> &nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>Visit this&nbsp;<a href="https://www.bbbc19.com/" target="_blank"><u>link</u></a>&nbsp;for more information and to register.</td> </tr> <tr> <td><br /> <strong>Description:</strong><br /> &nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td><br /> In this session, Peter Ford and Meghan Leemon will discuss with participants the importance of having a well-shaped bidding strategy that includes joint venturing and participating in SBA&rsquo;s All Small Mentor-Prot&eacute;g&eacute; Program. The topics covered are SBA&rsquo;s rules for joint ventures; the advantages/disadvantages of joint venturing in the federal arena; the eligibility requirements for the All Small Mentor-Prot&eacute;g&eacute; Program; and the benefits the program has to offer. In addition, the session will touch on looming changes to the joint venture rules and the All Small Mentor-Prot&eacute;g&eacute; Program, such as consolidating the 8(a) Mentor-Prot&eacute;g&eacute; Program with the All Small Mentor-Prot&eacute;g&eacute; Program, eliminating SBA approval of 8(a) joint ventures for competitive contracts, and relaxing the requirement that a prot&eacute;g&eacute; can have only two mentors in its lifetime.</td> </tr> </tbody> </table>https://www.pilieromazza.com/?t=39&format=xml&directive=0&stylesheet=rss&records=10GovCon Tips for M&A in 2020!https://www.pilieromazza.com/?t=40&an=96624&format=xml30 Oct 2019Events<table width="100%" border="0" align="center" cellpadding="1" cellspacing="1"> <tbody> <tr> <td><strong><br /> Speaker:<br /> <br type="_moz" /> </strong></td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td><a href="https://www.pilieromazza.com/attorneys/details/isaias-alba-iv/8" target="_blank">Cy Alba</a></td> </tr> <tr> <td><br /> <strong>Program:<br /> <br type="_moz" /> </strong></td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>GovCon Tips for M&amp;A in 2020!</td> </tr> <tr> <td><br /> <strong>Date/Time:<br /> <br type="_moz" /> </strong></td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>October 30, 2019 / 7:30 AM ET</td> </tr> <tr> <td><strong><br /> Event:<br /> <br type="_moz" /> </strong></td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>GovCon Buy and Sell Strategies for 2020</td> </tr> <tr> <td><br /> <strong>Organizer:<br /> <br type="_moz" /> </strong></td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>sbLiftOff</td> </tr> <tr> <td><br /> <strong>Location:</strong><br /> &nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td><br /> Tower Club - Tysons Corner<br /> 8000 Towers Crescent Drive<br /> Suite 1700<br /> Vienna, VA 22182<br /> &nbsp;</td> </tr> <tr> <td><br /> <strong>Registration:</strong><br /> &nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>Visit this&nbsp;<a href="https://www.eventbrite.com/e/govcon-buy-and-sell-strategies-for-2020-tickets-71782893567 " target="_blank"><u>link</u></a>&nbsp;for more information and to register.</td> </tr> <tr> <td><br /> <strong>Description:</strong><br /> &nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td><br /> Get the fall started right by joining on October 30, 2019 from 7:30 - 9:30 AM at Tower Club - Tysons for a private breakfast session on today&rsquo;s hot GovCon Market. Hear from a top M&amp;A adviser, a GovCon lawyer and financial planning expert skilled at the nuances of successful transfers. Get new insider tips on:<br /> <ul> <li>2020&rsquo;s anticipated market and key success factors for GovCon M&amp;A transactions;</li> <li>New Financing options;</li> <li>Best deal structures to grow via acquisition;</li> <li>Ways of selling while retaining some equity;</li> <li>Multiple paths to exit and lift off to your next goal.</li> </ul> </td> </tr> </tbody> </table>https://www.pilieromazza.com/?t=39&format=xml&directive=0&stylesheet=rss&records=10WEBINAR: Incentive Compensation Plans Designed to Retain Talent and Grow the Businesshttps://www.pilieromazza.com/?t=40&an=95495&format=xml15 Oct 2019Events<table width="100%" border="0" align="center" cellpadding="1" cellspacing="1"> <tbody> <tr> <td><strong><br /> Speaker(s):<br /> <br type="_moz" /> </strong></td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td><a href="https://www.pilieromazza.com/kathryn-l-hickey" target="_blank">Kathryn Hickey</a>&nbsp;</td> </tr> <tr> <td><br /> <strong>Program:<br /> <br type="_moz" /> </strong></td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>Incentive Compensation Plans Designed to Retain Talent and Grow the Business</td> </tr> <tr> <td><br /> <strong>Date/Time:</strong><br /> &nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>October 15, 2019 / 11:00 AM ET</td> </tr> <tr> <td><br /> <strong>Event:</strong><br /> &nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>No-Man's Land: The Quest to Successfully Navigate from Small Business Set Asides to Full and Open Competition</td> </tr> <tr> <td><br /> <strong>Organizer:</strong><br /> &nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>PilieroMazza and Aronson</td> </tr> <tr> <td><br /> <strong>Location:</strong><br /> &nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td><br /> Webinar<br /> &nbsp;</td> </tr> <tr> <td><br /> <strong>Registration:</strong><br /> &nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>TBD</td> </tr> <tr> <td><br /> <strong>Description:</strong><br /> &nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td><br /> What does it take to get to the next level? How does a contractor successfully graduate from the small business designation to be a viable large business positioned for success and build shareholder value into the future? Join PilieroMazza's Kathryn Hickey and Aronson's Mike Muscatello as they identify common pitfalls and insights to become a viable and successful business in full and open competition.<br /> &nbsp;</td> </tr> </tbody> </table>https://www.pilieromazza.com/?t=39&format=xml&directive=0&stylesheet=rss&records=10Clearing a DOL Audithttps://www.pilieromazza.com/?t=40&an=95676&format=xml25 Sep 2019Events<table width="100%" border="0" align="center" cellpadding="1" cellspacing="1"> <tbody> <tr> <td><strong><br /> Speakers:<br /> <br type="_moz" /> </strong></td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td><a href="https://www.pilieromazza.com/attorneys/details/nichole-d-atallah/5" target="_blank">Nichole Atallah</a>&nbsp;and <a href="https://www.pilieromazza.com/attorneys/details/sarah-l-nash/32" target="_blank">Sarah Nash</a></td> </tr> <tr> <td><br /> <strong>Program:<br /> <br type="_moz" /> </strong></td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>Clearing a DOL Audit</td> </tr> <tr> <td><strong><br /> Date/Time:<br /> <br /> <br type="_moz" /> </strong></td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>September 25, 2019 / 10:00 AM ET&nbsp;</td> </tr> <tr> <td><br /> <strong>Event:</strong><br /> &nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>CYA in SCA: How to be Compliant &amp; Cost Effective</td> </tr> <tr> <td><br /> <strong>Organizer:</strong><br /> &nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>GovMates</td> </tr> <tr> <td><br /> <strong>Location:</strong><br /> &nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td><br /> GDIT<br /> Patriot Ridge Collaboration Center<br /> 7770 Backlick Road<br /> Springfield, VA 22150<br /> &nbsp;</td> </tr> <tr> <td><br /> <strong>Registration:</strong><br /> &nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>Visit this&nbsp;<a href="http://govmates.com/institute/" target="_blank">link</a>&nbsp;to register.</td> </tr> <tr> <td><br /> <strong>Description:</strong><br /> &nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td><br /> <div style="text-align: justify;">The SCA can be complicated to navigate and can expose government contractors to significant wage and hour liability. Our experienced attorneys will discuss the top 5 SCA pitfalls that get contractors in trouble and will equip you with the tools to stay compliant.</div> &nbsp;</td> </tr> </tbody> </table>https://www.pilieromazza.com/?t=39&format=xml&directive=0&stylesheet=rss&records=10WEBINAR: Subcontract Pricinghttps://www.pilieromazza.com/?t=40&an=95868&format=xml24 Sep 2019Events<table width="100%" border="0" align="center" cellpadding="1" cellspacing="1"> <tbody> <tr> <td><strong><br /> Speaker:<br /> <br type="_moz" /> </strong></td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td><a href="https://www.pilieromazza.com/attorneys/details/isaias-alba-iv/8" target="_blank">Cy Alba</a></td> </tr> <tr> <td><br /> <strong>Program:<br /> <br type="_moz" /> </strong></td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>Subcontract Pricing</td> </tr> <tr> <td><br /> <strong>Date/Time:</strong></td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>September 24, 2019 / 2:00 PM ET</td> </tr> <tr> <td><strong><br /> Event:<br /> <br type="_moz" /> </strong></td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>Subcontracting Summit 2019</td> </tr> <tr> <td><br /> <strong>Organizer:</strong><br /> &nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>Public Contracting Institute</td> </tr> <tr> <td><br /> <strong>Location:</strong><br /> &nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>Webinar</td> </tr> <tr> <td><br /> <strong>Registration:</strong><br /> &nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>Visit this&nbsp;<a href="https://www.cvent.com/events/subcontracting-summit-2019-subcontract-pricing/registration-77e34e92b1c24e9bbe8a88ed34cc1423.aspx?fqp=true" target="_blank"><u>link</u></a>&nbsp;to register.</td> </tr> <tr> <td><br /> <strong>Description:</strong><br /> &nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td><br /> TBD</td> </tr> </tbody> </table>https://www.pilieromazza.com/?t=39&format=xml&directive=0&stylesheet=rss&records=10WEBINAR: Top 10 Corporate Mistakes that Small Businesses Make in Federal Contractinghttps://www.pilieromazza.com/?t=40&an=95867&format=xml19 Sep 2019Events<table width="100%" border="0" align="center" cellpadding="1" cellspacing="1"> <tbody> <tr> <td><strong><br /> Speaker:<br /> <br type="_moz" /> </strong></td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td><a href="https://www.pilieromazza.com/attorneys/details/isaias-alba-iv/8" target="_blank">Cy Alba</a> and <a href="https://www.pilieromazza.com/kathryn-l-hickey" target="_blank">Kathryn Hickey</a></td> </tr> <tr> <td><br /> <strong>Program:<br /> <br type="_moz" /> </strong></td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>Top 10 Corporate Mistakes that Small Businesses Make in Federal Contracting</td> </tr> <tr> <td><br /> <strong>Date/Time:</strong><br /> &nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>September 19, 2019 / 12:00 PM ET&nbsp;</td> </tr> <tr> <td><strong><br /> Event:<br /> <br type="_moz" /> </strong></td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>0-60: Top Ten Virtual Class Series</td> </tr> <tr> <td><br /> <strong>Organizer:</strong><br /> &nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>Public Contracting Institute</td> </tr> <tr> <td><br /> <strong>Location:</strong><br /> &nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>Webinar</td> </tr> <tr> <td><br /> <strong>Registration:</strong><br /> &nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>Visit this&nbsp;<a href="https://www.cvent.com/events/0-60-top-10-corporate-mistakes-that-small-businesses-make-in-federal-contracting/registration-20d5f17f3ac04261a705c65cb72e7c3f.aspx?fqp=true" target="_blank"><u>link</u></a>&nbsp;to register.</td> </tr> <tr> <td><br /> <strong>Description:</strong><br /> &nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>&nbsp;</td> <td>TBD</td> </tr> </tbody> </table>https://www.pilieromazza.com/?t=39&format=xml&directive=0&stylesheet=rss&records=10Weekly Update for Government Contractors and Commercial Businesses - September 19, 2019https://www.pilieromazza.com/7A2372/assets/files/News/Weekly Update for Government Contractors and Commercial Businesses - September 19 2019.pdf19 Sep 2019Weekly Update Newsletter<p style="text-align: justify;">If you have questions concerning the content below, please visit this <a href="mailto:marketing@pilieromazza.com">link</a>.<br /> <b><a href="https://www.pilieromazza.com/native-american-law" target="_blank"><br /> NATIVE AMERICAN LAW</a></b></p> <p style="text-align: justify;"><b>Key Ruling on Native American Sovereign Immunity Stands&mdash;for Now</b>, September 13, 2019, <a href="https://www.pilieromazza.com/attorneys/details/paul-w-mengel-iii/11">Paul Mengel</a><br /> The Fourth Circuit case <i>Williams v. Big Picture Loans</i> is being hailed as a major victory for Native American sovereign immunity rights. <b><i>For entities owned by Native American tribes, the case stands as an important ruling for determining arm-of-the-tribe sovereign immunity. The case may be appealed to the Supreme Court.</i></b> [<a href="https://www.pilieromazza.com/blog-key-ruling-on-native-american-sovereign-immunity-standsfor-now">Read More</a>]</p> <p style="text-align: justify;"><b><a href="https://www.pilieromazza.com/cybersecurity">CYBERSECURITY &amp; DATA PRIVACY</a></b></p> <p style="text-align: justify;"><b>DOD Needs to Fully Implement Program for Piloting Open Source Software</b><br /> Open source software is code that is released under a license which grants users the right to modify, share, and reuse the software. Making code available for reuse as open source can have major benefits such as decreasing costs and improving efficiencies. The National Defense Authorization Act for Fiscal Year 2018 required the Department of Defense (DOD) to submit a plan to Congress for initiating the open source software pilot program established by Office of Management and Budget (OMB) memorandum M-16-21. The Government Accountability Office (GAO) released a report titled &ldquo;Information Technology: DOD Needs to Fully Implement Program for Piloting Open Source Software.&rdquo; This report found that DOD has not fully implemented an open source software pilot program and related policy requirements. For the requirement of securing data rights and inventory code, DOD issued a memorandum that directs contracting officers to secure data rights and to identify all source code created after August 2016. However, DOD&rsquo;s components have not executed these activities nor has DOD identified a milestone for when they will be completed. Read the full report <a href="https://www.gao.gov/products/GAO-19-457">here</a>.</p> <p style="text-align: justify;"><b><a href="https://www.pilieromazza.com/labor-employment-law">LABOR &amp; EMPLOYMENT LAW</a></b></p> <p style="text-align: justify;"><b>NLRB Adopts Contract Coverage Standard for Determining Whether Unilateral Changes Violate NLRA</b><br /> The National Labor Relations Board (NLRB) adopted the &ldquo;contract coverage&rdquo; standard for determining whether a unionized employer&rsquo;s unilateral change in a term or condition of employment violates the National Labor Relations Act (NLRA). In doing so, NLRB abandoned the &ldquo;clear and unmistakable waiver&rdquo; standard, which has been rejected by several federal courts of appeals, notably including the Court of Appeals for the District of Columbia Circuit, which has plenary jurisdiction to review NLRB rulings. The decision is <a href="https://apps.nlrb.gov/link/document.aspx/09031d4582d55813"><i>M.V. Transportation, Inc</i></a>. Under the &ldquo;contract coverage&rdquo; or &ldquo;covered by the contract&rdquo; standard, NLRB will examine the plain language of the parties&rsquo; collective-bargaining agreement to determine whether the change made by the employer was within the compass or scope of contractual language granting the employer the right to act unilaterally. If it was, NLRB will honor the plain terms of the parties&rsquo; agreement, and the employer will not have violated the National Labor Relations Act by making the change without bargaining. Read more <a href="https://www.nlrb.gov/news-outreach/news-story/board-adopts-contract-coverage-standard-determining-whether-unilateral">here</a>.</p> <p style="text-align: justify;"><b><b>Actions Needed to Improve Planning for Center Operation Contracts<br /> </b></b>The Department of Labor&rsquo;s (DOL) Job Corps program helps low-income youth obtain various skills, including those needed to find a job. Its centers are operated mostly by contractors. GAO released a report titled &ldquo;Job Corps: Actions Needed to Improve Planning for Center Operation Contracts.&rdquo; This report reviews DOL&rsquo;s use of bridge contracts at these centers. Such contracts can prevent a lapse in service after a contract ends. However, in certain circumstances, they may increase the risk of government overpaying. The report found that 68 contractor-run centers operated under bridge contracts during program year 2016, but use of bridge contracts decreased substantially the next year. GAO recommends that DOL better plan for awarding center contracts. Read the full report<b> </b><a href="https://www.gao.gov/products/GAO-19-326">here</a>.</p> <p style="text-align: center;"><b>Related Labor &amp; Employment Law Presentations by PilieroMazza</b></p> <p style="text-align: justify;"><b>PODCAST:</b> PilieroMazza&rsquo;s <i>GovCon Live!</i> presents &ldquo;<i>Ex Rel. Radio</i>,&rdquo; our multi-part series on the False Claims Act, which includes commentary on potential pitfalls for your company, enforcement issues, and emerging trends. Check out our latest episode &ldquo;<b>Building Compliance: Construction Industry Concerns Under FCA</b>&rdquo; with <a href="https://www.pilieromazza.com/?t=3&amp;A=13127&amp;format=xml&amp;p=11185">Sarah Nash</a> and <a href="https://www.pilieromazza.com/attorneys/details/jonathan-t-williams/7">Jon Williams</a>, which went live on August 19th. [<a href="https://www.pilieromazza.com/podcasts">Read More</a>]</p> <p style="text-align: justify;"><b>EVENT: Clearing a DOL Audit</b>,September 25, 2019, Speakers:&nbsp;<a href="https://www.pilieromazza.com/attorneys/details/nichole-d-atallah/5">Nichole Atallah</a>&nbsp;and<a href="https://www.pilieromazza.com/?t=3&amp;A=13127&amp;format=xml&amp;p=11185">Sarah Nash</a>. [<a href="https://www.pilieromazza.com/clearing-a-dol-audit">Read More</a>]<br /> <b><a href="https://www.pilieromazza.com/business-corporate-law"><br /> BUSINESS &amp; CORPORATE LAW</a></b></p> <p style="text-align: center;"><b>Related Business &amp; Corporate Law Presentations by PilieroMazza</b></p> <p style="text-align: justify;"><b>WEBINAR: Top 10 Corporate Mistakes that Small Businesses Make in Federal Contracting</b>, September 19, 2019, Speakers: <a href="https://www.pilieromazza.com/?t=3&amp;A=12461&amp;format=xml&amp;p=11185">Isaias &ldquo;Cy&rdquo; Alba</a> and <a href="https://www.pilieromazza.com/?t=3&amp;A=15674&amp;format=xml&amp;p=11185">Kathryn Hickey</a>. [<a href="https://www.pilieromazza.com/webinar-top-10-corporate-mistakes-that-small-businesses-make-in-federal-contracting">Read More</a>]</p> <p style="text-align: justify;"><b>WEBINAR: Incentive Compensation Plans Designed to Retain Talent and Grow the Business</b>,October 15, 2019, Speaker: <a href="https://www.pilieromazza.com/kathryn-l-hickey">Kathryn Hickey</a>. [<a href="https://www.pilieromazza.com/?t=40&amp;an=95495&amp;anc=803&amp;format=xml">Read More</a>]</p> <p style="text-align: justify;"><b>EVENT: GovCon Tips for M&amp;A in 2020!</b> October 30, 2019, Speaker: <a href="https://www.pilieromazza.com/attorneys/details/isaias-alba-iv/8">Isaias &ldquo;Cy&rdquo; Alba</a>. [<a href="https://www.pilieromazza.com/govcon-tips-for-ma-in-2020">Read More</a>]<br /> <b><a href="https://www.pilieromazza.com/government-contracts" target="_blank"><br /> GOVERNMENT CONTRACTS LAW</a></b></p> <p style="text-align: justify;"><b>5 Things Government Contractors Should Know About Task Order Protests</b>, September 11, 2019, <a href="https://www.pilieromazza.com/attorneys/details/michelle-e-litteken/24">Michelle Litteken</a><br /> With the fiscal year coming to a close, federal agencies are issuing notices of award and disappointed offeror letters. Because of the push toward category management and the growth in government-wide acquisition contracts and indefinite delivery, indefinite quantity contracts, many of the procurements involve task orders. Although a task order may be similar to a contract in many respects, the rules that apply to protesting the award of a task order are different. <b><i>Understanding these rules is essential for any government contractor competing for task order awards. Here are five things contractors should know about task order protests.</i></b> [<a href="https://www.pilieromazza.com/blog-5-things-government-contractors-should-know-about-task-order-protests">Read More</a>]</p> <p style="text-align: justify;"><b>Request to Review Revision and Renewal of Information Collection Requirement Submitted</b><br /> DOD, the General Services Administration (GSA), and the National Aeronautics and Space Administration (NASA) issued a notice that submits an information collection requirement regarding changes, change order accounting, and notification of changes to OMB for review and approval. The information collection title is titled &ldquo;Changes, Change Order Accounting, and Notification of Changes.&rdquo; This clearance covers the information that contractors must submit to comply with Federal Acquisition Regulation (FAR) part 43 requirements. For acquisitions exceeding the simplified acquisition threshold for dismantling, demolition, or removal of improvements; and constructions, under a fixed-price contract, the contractor must assert its right to an adjustment under this clause within 30 days after receipt of a written change order or the furnishing of a written notice, by submitting to the contracting officer a written statement describing the general nature and amount of proposal, unless this period is extended by the government. Additionally, the contractor, for each change or series of related changes, shall maintain separate accounts, by job order or other suitable accounting procedure, of all incurred segregable, direct costs (less allocated credits) of work, both changed and not changed, allocable to the change. The contractor shall maintain these accounts until the parties agree to an equitable adjustment or the matter is conclusively disposed of under the Disputes clause. Lastly, under these new requirements, if a negotiated research and development or supply contract for the acquisition of major weapon systems or principal subsystems is expected to be $1,000,000 or more, the contractor shall notify the Administrative Contracting Officer in writing if the contractor identifies any government conduct (including actions, inactions, and written or oral communications) that the contractor regards as a change to the contract terms and conditions. Read the published version <a href="https://www.federalregister.gov/documents/2019/09/10/2019-19514/submission-for-omb-review-changes-change-order-accounting-and-notification-of-changes">here</a>.</p> <p style="text-align: justify;"><b>DOE Has No Assurance That It Took Best Procurement Approach</b><br /> The Economy Act of 1933 provides authority for federal agencies to acquire goods and services through interagency agreements, if those goods or services cannot be provided as conveniently or at a lower price by commercial enterprises. DOE can enter into two types of agreements: interagency acquisitions and interagency transactions. In both cases, the servicing agency may charge a fee for assistance, such as a percentage of the contract value or an itemized charge for services. In some cases, DOE enters into agreements on behalf of the management and operating contractors that manage its sites. Between fiscal years 2012 and 2017, DOE paid approximately $9.7 billion to other agencies, and the Office of Inspector General initiated an audit to determine whether DOE&rsquo;s use of interagency agreements complied with applicable regulations and DOE policies. DOE&rsquo;s Office of Inspector General has released a report titled &ldquo;Audit Report: DOE-OIG-19-46.&rdquo; This report determined that DOE has not fully complied with applicable regulations, since&mdash;without adequate acquisition planning&mdash;DOE may not have acquired goods and services as conveniently or economically as possible by using interagency agreements instead of using a commercial enterprise. Read the full report <a href="https://www.energy.gov/ig/downloads/audit-report-doe-oig-19-46">here</a>.</p> <p style="text-align: justify;"><b>FAC Final Rules Summary Released</b><br /> DOD, GSA, and NASA issued a summary presentation of FAR rules agreed to by the Civilian Agency Acquisition Council and the Defense Acquisition Regulations Council in the Federal Acquisition Circular (FAC) 2019-06.</p> <ul type="disc"> <li style="text-align: justify;">Item I adopts an interim rule published on June 15, 2018, that prohibits the use of hardware, software, and services developed or provided, in whole or in part, by Kaspersky Lab, a Russian cybersecurity company. The rule also requires contractors to report any such hardware, software, or services discovered during contract performance.</li> <li style="text-align: justify;">Item II removes an obsolete requirement for 8(a) contractors to obtain written approval from the Small Business Administration (SBA) and the contracting officer before subcontracting the performance of any contract requirements.</li> <li style="text-align: justify;">Item III is a final rule that establishes the Contract Performance Assessment Reporting System as the official system for past contract performance information, and replaces the Past Performance Information Retrieval System.</li> <li style="text-align: justify;">Item IV is a final rule that adds Australia as a new World Trade Organization Government Procurement Agreement country.</li> </ul> <p style="text-align: justify;">Read the published version <a href="https://www.federalregister.gov/documents/2019/09/10/2019-19359/federal-acquisition-regulation-federal-acquisition-circular-2019-06-introduction">here</a>.<br /> <b><br /> </b><b>PPIRS References Removed from DFARS</b><br /> DARS issued a final rule amending the DFARS to update references to the Past Performance Information Retrieval System (PPIRS) for past performance information and replace with Contractor Performance Assessment Reporting System (CPARS) to implement changes following the official retirement of PPIRS and subsequent merger with the CPARS effective January 15, 2019. This rule also amends the DFARS to replace references to &ldquo;Past Performance Information Retrieval System-Statistical Reporting&rdquo; with &ldquo;Supplier Performance Risk System&rdquo; and update the associated web addresses. Read the published version <a href="https://www.federalregister.gov/documents/2019/09/13/2019-19565/defense-federal-acquisition-regulation-supplement-update-to-performance-information-system">here</a>.<b><br /> </b></p> <p style="text-align: center;"><b>Related Government Contracts Law Presentations by PilieroMazza</b></p> <p style="text-align: justify;"><b>WEBINAR: Top 10 Corporate Mistakes that Small Businesses Make in Federal Contracting</b>, September 19, 2019, Speakers: <a href="https://www.pilieromazza.com/?t=3&amp;A=12461&amp;format=xml&amp;p=11185">Isaias &ldquo;Cy&rdquo; Alba</a> and <a href="https://www.pilieromazza.com/?t=3&amp;A=15674&amp;format=xml&amp;p=11185">Kathryn Hickey</a>. [<a href="https://www.pilieromazza.com/webinar-top-10-corporate-mistakes-that-small-businesses-make-in-federal-contracting">Read More</a>]</p> <p style="text-align: justify;"><b>WEBINAR: Subcontract Pricing</b>, September 24, 2019, Speaker: <a href="https://www.pilieromazza.com/attorneys/details/isaias-alba-iv/8">Isaias &ldquo;Cy&rdquo; Alba</a>. [<a href="https://www.pilieromazza.com/webinar-pci-subcontracting-summit-session-subcontract-pricing">Read More</a>]</p> <p style="text-align: justify;"><b>EVENT: GovCon Tips for M&amp;A in 2020!</b> October 30, 2019, Speaker: <a href="https://www.pilieromazza.com/attorneys/details/isaias-alba-iv/8">Isaias &ldquo;Cy&rdquo; Alba</a>. [<a href="https://www.pilieromazza.com/govcon-tips-for-ma-in-2020">Read More</a>]</p> <p style="text-align: justify;"><b>EVENT: Growth Through Joint Ventures and Mentor-Prot&eacute;g&eacute; Relationships</b>, November 8, 2019, Speakers: <a href="https://www.pilieromazza.com/?t=3&amp;A=12470&amp;format=xml&amp;p=11185">Peter Ford</a> and <a href="https://www.pilieromazza.com/?t=3&amp;A=13125&amp;format=xml&amp;p=11185">Meghan Leemon</a>. [<a href="https://www.pilieromazza.com/?t=40&amp;an=95882&amp;anc=803&amp;format=xml">Read More</a>]<br /> <b><a href="https://www.pilieromazza.com/small-business-administration-programs"><br /> SMALL BUSINESS PROGRAMS &amp; ADVISORY SERVICES</a></b></p> <p style="text-align: justify;"><b>SBA Accepting Nominations for National Small Business Week Awards</b><br /> SBA is now accepting nominations for its 2020 National Small Business Week Awards, including the annual Small Business Person of the Year. For more than 50 years, National Small Business Week has celebrated the inspiring achievements of America&rsquo;s small businesses and the countless contributions they make to their local communities, and to our nation&rsquo;s economy. SBA Awards given in celebration of National Small Business Week from May 3&ndash;9, 2020. Visit SBA&rsquo;s website to nominate a deserving small business owner, and learn more <a href="https://www.sba.gov/about-sba/sba-newsroom/press-releases-media-advisories/sba-invites-americas-small-businesses-share-their-story">here</a>.</p> <p style="text-align: justify;"><b>SBA Submits Proposed Reporting and Recordkeeping Requirements to OMB</b><br /> SBA issued a notice submitting proposed reporting and recordkeeping requirements to the OMB for review and approval. The Emerging Leaders Initiative aims to assist established small businesses located in historically challenged communities with increasing their sustainability, attracting outside investment, and strengthening each community&rsquo;s economic base by creating jobs and providing valuable goods and services. SBA conducts annual performance-monitoring activities to assess the short- and intermediate-term outcomes of participants in the Emerging Leaders Initiative. SBA uses three survey instruments to collect the assessment information from the participants in each training cohort. Read the published version <a href="https://www.federalregister.gov/documents/2019/09/11/2019-19639/reporting-and-recordkeeping-requirements-under-omb-review">here</a>.</p>https://www.pilieromazza.com/?t=39&format=xml&directive=0&stylesheet=rss&records=10BLOG: Small Businesses and the FCA: Are More FCA Cases Against Small Businesses on the Horizon?https://www.pilieromazza.com/?t=40&an=96787&format=xml19 Sep 2019Blog<p style="text-align: justify;">On August 20, 2019, the U.S. Department of Justice announced that it had reached a $20 million settlement with Luke Hillier (Hillier), the majority owner and former CEO of a Virginia-based defense contractor, ADS, Inc. (ADS), to resolve &ldquo;allegations that he violated the False Claims Act (FCA) by fraudulently obtaining federal set-aside contracts reserved for small businesses that his company was ineligible to receive . . . .&rdquo; The resolution of the claims against Hillier follows ADS&rsquo;s payment of a separate $16 million settlement on related claims, as well as an additional $225,000 paid by Charles Salle, the former general counsel of ADS, to resolve claims arising from his role in the alleged scheme.&nbsp;Combined, the $36 million total settlement is believed to be the largest FCA recovery in history based on allegations of small business contracting fraud.&nbsp;<b><i>Given the size of the collective settlement and the nature of the allegations against Hillier and ADS, small businesses everywhere&mdash;particularly government contractors&mdash;should anticipate a potential increase in the frequency of small business fraud-related FCA cases.</i></b></p> <p style="text-align: justify;">The case from which these settlements arose was originally filed in November 2013 and alleged that ADS caused its affiliates to falsely represent themselves as, among other things, Service-Disabled Veteran Owned Small Businesses (SDVOSBs).&nbsp;It further alleged that these false representations allowed ADS, through its affiliates, to compete improperly for set-aside opportunities that were intended to be available only to SDVOSBs and for which ADS was not eligible.&nbsp;As a result of this improper access, ADS profited at the expense of both the government and eligible SDVOSBs.&nbsp;The claims against ADS were settled in August 2017; however, the claims against Hillier remained outstanding until last month.</p> <p style="text-align: justify;">To be eligible for any small business set-asides, including SDVOSB set-asides, businesses must satisfy certain eligibility requirements, established primarily by the U.S. Small Business Administration (SBA).&nbsp;The specific requirements depend on the type of set-aside.&nbsp;For example, in order to self-certify as an SDVOSB, and therefore compete for SDVOSB set-aside contracts, a company must be owned and controlled by a service-disabled veteran, and must qualify as a small business under the applicable NAICS code, among various other requirements.&nbsp;Businesses must represent and certify as to their size and status (<u>e.g.</u>, as a veteran-owned small business, women-owned small business, or SDVOSB, for example) when responding to set-aside contracting opportunities, as well as in their System for Award Management (SAM) registration.&nbsp;If a business knows <i>or should know</i> that it is not a small business of the type for which the contract was set-aside but represents otherwise, it exposes itself to potential FCA liability and monetary fines, among other penalties such as suspension and debarment.&nbsp;Likewise, the officers of the business may be liable individually under the FCA for any involvement in the business&rsquo; false representations or certifications.&nbsp;This potential individual liability is the basis of Hillier&rsquo;s settlement last month.</p> <p style="text-align: justify;">The lesson to be drawn from these settlements is simple:&nbsp;the government will prosecute small businesses that falsely represent their socio-economic and size statuses.&nbsp;Contractors should be forthright with their dealings with the government and should understand the serious implications that flow from a misrepresentation.&nbsp;Indeed, as exemplified above, the government has shown that it will pursue false representations zealously and that the cost to contractors of making such representations can be steep.&nbsp;Simply put, contractors should be sure that all their size and status representations are accurate.</p> <p style="text-align: justify;">Members of&nbsp;<a href="https://www.pilieromazza.com/" target="_blank">PilieroMazza</a>&rsquo;s&nbsp;<a href="https://www.pilieromazza.com/?t=5&amp;LPA=7778&amp;format=xml&amp;p=11186" target="_blank">False Claims Act</a>,&nbsp;<a href="https://www.pilieromazza.com/?t=5&amp;LPA=6652&amp;format=xml&amp;p=11186" target="_blank">Litigation &amp; Dispute Resolution</a>, and <a href="https://www.pilieromazza.com/?t=5&amp;LPA=6650&amp;format=xml&amp;p=11186" target="_blank">Small Business Programs &amp; Advisory Services</a>&nbsp;practice groups are well-equipped to advise small businesses and government contractors on these and other issues.</p> <p style="text-align: justify;"><a href="https://www.pilieromazza.com/attorneys/details/timothy-f-valley/31" target="_blank">Timothy Valley</a>, the author of this blog, is an Associate in the Firm&rsquo;s&nbsp;<a href="https://www.pilieromazza.com/?t=5&amp;LPA=6648&amp;format=xml&amp;p=11186" target="_blank">Government Contracts Law</a>,&nbsp;<a href="https://www.pilieromazza.com/?t=5&amp;LPA=6652&amp;format=xml&amp;p=11186" target="_blank">Litigation &amp; Dispute Resolution</a>,&nbsp;and&nbsp;<a href="https://www.pilieromazza.com/?t=5&amp;LPA=6650&amp;format=xml&amp;p=11186" target="_blank">Small Business Programs &amp; Advisory Services</a>&nbsp;practice groups.</p>https://www.pilieromazza.com/?t=39&format=xml&directive=0&stylesheet=rss&records=10BLOG: Protégé Subcontract Revenues from Mentor Hold No Basis for Economic Dependencehttps://www.pilieromazza.com/?t=40&an=96760&format=xml18 Sep 2019Blog<p>An important benefit of a mentor-prot&eacute;g&eacute; agreement (MPA) is that no determination of affiliation may be found between a prot&eacute;g&eacute; and its mentor solely because of assistance provided under the agreement. A recent decision of the Small Business Administration (SBA) Office of Hearings and Appeals (OHA), <i>Avar Consulting, Inc.</i>,<a href="#_edn1" name="_ednref1" title=""><sup><sup>[1]</sup></sup></a> upheld a size determination which found that a prot&eacute;g&eacute; was not affiliated with its SBA-approved mentor through economic dependence, even though the revenues it received from the mentor constituted over 70% of the revenues it received between formation and the date of size self-certification.&nbsp;<b><i>A small business government contractor that anticipates future affiliation with a business under the 70% economic dependence rule should consider entering into an SBA-approved small business MPA with that business to prevent future revenues it receives from the business from being considered when economic dependence is assessed.</i></b></p> <p>As many of our readers know, under SBA regulations, there is a presumption of an identity of interest based upon economic dependence if a firm derives 70% or more of its receipts from another business over the previous three fiscal years.&nbsp;In other words, if a small business obtains 70% or more of its total revenues from another business, SBA will assume that the two businesses are affiliated, and may find that the small business is no longer small as a result.&nbsp;This is precisely the flag Avar raised in its appeal to OHA.</p> <p>In this appeal, Avar was protesting the size of Telaforce, LLC, a self-certified small business which had won a small business set-aside contract with the Bureau of Labor and Statistics (BLS).&nbsp;Telaforce had an SBA-approved Mentor-Prot&eacute;g&eacute; Agreement with CACI International, Inc. (a large business).&nbsp;Avar protested that because of, among other things, Telaforce&rsquo;s reliance on CACI International, Inc. (a large business) for more than 70% of Telaforce&rsquo;s total revenue, Telaforce should not be considered a small business.</p> <p>Avar protested that Telaforce&rsquo;s reliance on CACI predated the MPA, so that reliance should be considered affiliation.&nbsp;To support this argument, Avar pointed to a subcontracting agreement and an asset purchase agreement between CACI and Telaforce, both of which became effective before the MPA was approved.&nbsp;However, OHA disagreed with this assessment for two major reasons.&nbsp;First, OHA found that the revenue generated in the roughly two months before the MPA became effective, but after the other agreements became effective, was only a small amount compared to Telaforce&rsquo;s overall revenues as of the date of its self-certification as a small business.&nbsp;The vast majority of Telaforce&rsquo;s revenue from CACI came after the MPA entered into force, so that revenue did not have any bearing on whether Telaforce and CACI were affiliated, per SBA&rsquo;s regulations.&nbsp;Second, OHA found that, while it was true the MPA came into effect after the other agreements, the other agreements were not pre-MPA &ldquo;assistance&rdquo; from CACI to Telaforce.&nbsp;Rather, they were standard, arm&rsquo;s-length business transactions, and there was no evidence that CACI had given Telaforce special treatment during those transactions.&nbsp;Therefore, neither the revenues Telaforce received from CACI before the MPA, nor the agreements that gave rise to those revenues, were sufficient to show that Telaforce impermissibly relied on CACI.&nbsp;OHA thus held that Telaforce and CACI were not affiliated, so Telaforce was indeed a small business.</p> <p>While not path-breaking, there is a useful takeaway from this decision.&nbsp;A small business that anticipates affiliation with another business under the 70% economic dependence rule should consider entering into an SBA-approved small business mentor-prot&eacute;g&eacute; relationship to prevent revenues it receives from its mentor after the formation of the mentor-prot&eacute;g&eacute; relationship from being considered when economic dependence is assessed.&nbsp;Members of <a href="https://www.pilieromazza.com/">PilieroMazza</a>&rsquo;s <a href="https://www.pilieromazza.com/?t=5&amp;LPA=6648&amp;format=xml&amp;p=11186">Government Contracts Law</a> practice group are well-equipped to advise government contractors with the formation of a mentor-prot&eacute;g&eacute; relationship.</p> <p>Patrick Rothwell, the author of this blog, is an Associate in the Firm&rsquo;s <a href="https://www.pilieromazza.com/?t=5&amp;LPA=6648&amp;format=xml&amp;p=11186">Government Contracts Law</a> and <a href="https://www.pilieromazza.com/?t=5&amp;LPA=6650&amp;format=xml&amp;p=11186">Small Business Programs &amp; Advisory Services</a> practice groups.</p> <div><hr align="left" size="1" width="33%" /> <div id="edn1"> <p><a href="#_ednref1" name="_edn1" title="">[1]</a> <i>Avar Consulting, Inc., </i>SBA No. SIZ-6017 (2019).</p> </div> </div>https://www.pilieromazza.com/?t=39&format=xml&directive=0&stylesheet=rss&records=10BLOG: Key Ruling on Native American Sovereign Immunity Stands—for Nowhttps://www.pilieromazza.com/?t=40&an=96659&format=xml13 Sep 2019Blog<p style="text-align: justify;">The Fourth Circuit case <i>Williams v. Big Picture Loans</i><a href="#_ftn1" name="_ftnref1" title=""><sup><sup>[1]</sup></sup></a> is being hailed as a major victory for Native American sovereign immunity rights. <b><i>For entities owned by Native American tribes, the case stands as an important ruling for determining arm-of-the-tribe sovereign immunity. The case may be appealed to the Supreme Court.</i></b></p> <p style="text-align: justify;"><b>Background</b></p> <p style="text-align: justify;">The Lac Vieux Desert Band of the Lake Superior Chippewa Indians (the Tribe) formed two business entities under tribal law: Big Picture Loans, LLC, to serve as an independent lending entity and Ascension Technologies, LLC, to provide loan-related services (the Entities). Big Picture employed 15 members of the Tribe; Ascension employed 31 individuals, most of whom, including its president, were not tribal members. The Tribe also formed Tribal Economic Development Holdings, LLC (TED) to manage its lending operation, which became Big Picture and Ascension&rsquo;s parent company. The Tribe was the sole member of TED, which became Big Picture&rsquo;s and Ascension&rsquo;s sole member. Eventually the arrangement was that Big Picture would make a distribution to TED of its gross revenues, then TED would reinvest 2% of gross revenues into Big Picture&rsquo;s loan portfolio. TED also initially distributed 2%, which would later&nbsp;rise to 6%, to the Tribe.</p> <p style="text-align: justify;">The case was filed in the Eastern District of Virginia, when several Virginia residents claimed that they obtained internet payday loans from Big Picture that carried unlawful interest rates (about 50 times higher than the legal rate). The Entities moved to dismiss for lack of subject matter jurisdiction, claiming that they were entitled to tribal sovereign immunity as &ldquo;arms of the Tribe.&rdquo; After concluding that the Entities bore the burden of proof in the arm-of-the-tribe analysis, the district court found that the Entities failed to prove entitlement to immunity. In reaching its decision, the district court determined that the driving force behind the formation of Big Picture and Ascension was to shelter outsiders from the consequences of their otherwise illegal actions. The Entities appealed to the 4th Circuit.</p> <p style="text-align: justify;"><b>Opinion of the Fourth Circuit Court of Appeals</b></p> <p style="text-align: justify;">The 4<sup>th</sup> Circuit observed in its opinion that the Supreme Court has recognized that tribal immunity may remain intact when a tribe elects to engage in commerce using tribally created entities, i.e., arms of the tribe. The Supreme Court has not, however, articulated a framework for determining whether a particular entity should be considered as an arm of a tribe. In analyzing the district court&rsquo;s determination of the sovereign immunity issue, the 4<sup>th</sup> Circuit held that the lower court had correctly applied a test initially articulated by the 10<sup>th</sup> Circuit in <i>Breakthrough Management Group, Inc. v. Chukchansi Gold Casino &amp; Resort, </i>629 F. 3d 1173 (10<sup>th</sup> Cir. 2010).</p> <p style="text-align: justify;">The court applied five of the six factors from <i>Breakthrough </i>to determine arm-of-the-tribe immunity for the Entities:</p> <ol start="1" type="1"> <li style="text-align: justify;">the method of creation;</li> <li style="text-align: justify;">entity purpose;</li> <li style="text-align: justify;">entity structure, ownership, and management;</li> <li style="text-align: justify;">the tribe&rsquo;s intent to share its sovereign immunity; and</li> <li style="text-align: justify;">the financial relationship between the Tribe and the Entities.</li> </ol> <p style="text-align: justify;">For the first factor, method of creation, the 4<sup>th</sup> Circuit noted the Entities were both organized through resolutions by the Tribe Council, exercising powers delegated to it by the Tribe&rsquo;s Constitution, and they operated pursuant to the Tribe&rsquo;s Business Ordinance. Accordingly, they were created under tribal law, which weighed in favor their entitlement to tribal sovereign immunity.</p> <p style="text-align: justify;">Regarding entity purpose, the court found that the district court accurately noted that the Tribe stated a purpose for each Entity that related to broader goals of tribal self-governance, separate from the&nbsp;Entities&rsquo; commercial activities, i.e., tribal economic development and self-sufficiency. The court concluded that the stated purpose of the Entities, along with the payments that were made to the Tribe, weighed in favor of immunity.</p> <p style="text-align: justify;">The analysis of entity structure, ownership, and management was a closer call. The court found that Big Picture satisfied the factor because it was entirely controlled by the Tribe. However, since the Tribe had delegated substantial day-to-day management authority of Ascension to its non-tribal president, that factor weighed slightly against a finding of tribal immunity as to Ascension.</p> <p style="text-align: justify;">The fourth <i>Breakthrough </i>factor was easily met, the 4<sup>th</sup> Circuit concluded, because &ldquo;[t]he Tribe unequivocally stated its intention to share its immunity in Big Picture and Ascension&rsquo;s formation documents.&rdquo;</p> <p style="text-align: justify;">In assessing the financial relationship between the Tribe and the Entities, the court considered the financial impact that an adverse judgment would have on the Tribe. It found that, since 10% of the Tribe&rsquo;s general fund came from Big Picture, a judgment against the Entities could significantly impact the tribal treasury. Thus, the fifth <i>Breakthrough </i>factor turned in favor of sovereign immunity. And, since all the factors as to Big Picture weighed in favor of sovereign immunity and all but one weighed in favor of immunity for Ascension, the Entities were entitled to sovereign immunity from a lawsuit based upon allegedly exorbitant loan interest rates.</p> <p style="text-align: justify;"><b>Conclusion</b></p> <p style="text-align: justify;">It is unclear at this point whether the case will be appealed to the Supreme Court. For now, it stands as an important ruling in favor of asserting arm-of-the-tribe sovereign immunity for entities owned by Native American tribes.</p> <p style="text-align: justify;">For more information concerning this case and matters relating to Native American Law, please contact a member of <a href="https://www.pilieromazza.com/" target="_blank">PilieroMazza</a>&rsquo;s <a href="https://www.pilieromazza.com/native-american-law" target="_blank">Native American Law Group</a>.</p> <p style="text-align: justify;"><a href="https://www.pilieromazza.com/attorneys/details/paul-w-mengel-iii/11" target="_blank">Paul Mengel</a>, the author of this blog, is Counsel to the Firm&rsquo;s <a href="https://www.pilieromazza.com/?t=5&amp;LPA=6652&amp;format=xml&amp;p=11186" target="_blank">Litigation &amp; Dispute Resolution</a> and <a href="https://www.pilieromazza.com/?t=5&amp;LPA=8088&amp;format=xml&amp;p=11186" target="_blank">Native American Law</a> practice groups.</p> <div><hr align="left" size="1" width="33%" /> <div id="ftn1"> <p style="text-align: justify;"><a href="#_ftnref1" name="_ftn1" title="">[1]</a> <i>Williams v. Big Picture Loans, et al.</i>, No. 18-1827 (4<sup>th</sup> Cir. 2019).</p> </div> </div>https://www.pilieromazza.com/?t=39&format=xml&directive=0&stylesheet=rss&records=10