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Government Contracts
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November 20, 2023
Walgreens Says Insulin Pen Settlement Suit Has No 'Heat'
An attorney for pharmacy giant Walgreens' parent company told a Delaware vice chancellor on Monday that a stockholder derivative complaint seeking more than $200 million from directors who allegedly ignored intentional overfilling of insulin pen prescriptions amounted to "little light and no heat."
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November 20, 2023
Drugmaker Tells NC Court Director Took Trade Secrets To Rival
A maker of a botulinum toxin drug has accused a former director in North Carolina's business court of stealing hundreds of files containing confidential company information immediately after he was fired and bringing them to a rival.
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November 20, 2023
Fla. Man Cops To Wire Fraud Conspiracy In Telemedicine Case
A Florida man charged with facilitating a fraudulent telemedicine scheme pled guilty to a felony count of wire fraud conspiracy Monday in federal court, admitting to his role in an enterprise built to scam insurance companies into paying $1.5 million for prescriptions that patients didn't need.
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November 20, 2023
Catching Up With Delaware's Chancery Court
Lawsuits that went nowhere got pretty expensive in Delaware's Court of Chancery last week, which saw the award of a multimillion-dollar "mootness" fee and a settlement of litigation that closed a $720 million deal. New cases involved Walt Disney, Real Life, Zendesk and animal health company Covetrus Inc.
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November 20, 2023
Navajo Seek Interest For Damages In Judicial Funding Claims
The Navajo Nation is asking a D.C. federal judge for a quick win in its challenge to the federal government over inadequate judicial funding, saying it's entitled to recoup a $15 million shortfall for this year, interest on millions in damages in related cases and a recalculation of past funding increases.
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November 20, 2023
Feds ID 330K More Potential Victims In Medicare Data Breach
The U.S. Centers for Medicare & Medicaid says the personal information of an additional 330,000 patients may have been exposed in a cyberattack carried out earlier this year targeting the file-sharing tool MOVEit.
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November 20, 2023
VA Could Spend More Wisely On Eyeglasses, OIG Finds
The Veterans Health Administration could save millions of dollars by standardizing the purchase price of eyeglasses being provided to veterans, with contract pricing varying within a single region and even from the same vendor.
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November 20, 2023
US, South Korea Pledge Priority Support For Defense Supplies
The U.S. and South Korea committed to supporting each other's priority delivery requests for critical national defense resources under a new defense agreement.
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November 20, 2023
Mistrial Declared In Biz Owner's $1.4M VA Kickback Case
An Illinois federal judge declared a mistrial in the U.S. government's case against a business owner accused of paying kickbacks to a Department of Veterans Affairs worker in exchange for overpriced medical equipment rental contracts, according to court records entered Monday.
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November 20, 2023
Justices Will Hear Dispute Over Native Health Care Payments
The U.S. Supreme Court on Monday agreed to take up two federal government petitions seeking to overturn orders that require the Indian Health Service to reimburse millions in administrative health care costs for Native American tribes that provide insurer-funded services to their members.
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November 17, 2023
Fed. Circ. Says Newman Can End Her Suspension Anytime
Federal Circuit Judge Pauline Newman has the ability to end her suspension in less than a day, but is choosing to hold up the process by bringing an improper challenge, the court's judicial council told a D.C. federal court judge on Friday.
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November 17, 2023
Judge Won't Delay Ruling If States Can Join Abortion Pill Suit
A Texas federal judge told the government to make its argument about why Missouri, Kansas and Idaho shouldn't intervene in a lawsuit over various rulings about the abortion drug mifepristone, saying that there's no need to wait for the U.S. Supreme Court to decide if it will review the case.
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November 17, 2023
1st Circ. To Review Crucial Issue In Teva, Regeneron Cases
The First Circuit on Friday granted Teva Pharmaceutical's request to settle how rigorous the causation standard should be in federal False Claims Act kickback cases, a legal issue that has previously led to circuit splits and divergent rulings.
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November 17, 2023
Centene Board Got No Red Flags On Pricing, Del. Court Told
A stockholder suit accusing Centene Corp. directors of failing to curtail Medicaid fraud fails to show a majority of the board knew about the company's alleged pricing problem or that they consciously disregarded any red flags, an attorney for the directors told Delaware's Court of Chancery Friday.
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November 17, 2023
Biotech Co. Will Pay $400K For Bribes, Faces No Prosecution
The U.S. Department of Justice declined to prosecute biotech company Lifecore Biomedical Inc. for bribes its former subsidiary allegedly made to Mexican government officials over wastewater permits and documentation, but ordered it to disgorge over $400,000 after it cooperated in the DOJ's investigation.
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November 17, 2023
Democratic Reps. Look To Block Weapons Sale To Israel
The United States is set to send Israel $320 million worth of kits that would turn unguided bombs into ones that could target using GPS to continue its siege on the Gaza Strip, which has killed an estimated 12,000, but six Democrats are attempting to block the manufacturer's export license.
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November 17, 2023
GAO Denies $330M Protest Despite GSA Acting Unreasonably
The U.S. Government Accountability Office has rejected Peraton's protest over its exclusion from a $330 million technical support task order for U.S. Special Operations Command, saying the company was treated unreasonably, but didn't have a chance of winning the deal.
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November 17, 2023
Mask Cos. And Insurer Resolve N95 Coverage Dispute
A manufacturer of N95 respirator materials and its insurer told a California federal court they have resolved and agreed to drop a dispute over coverage for a suit claiming the manufacturer caused mask makers to lose a $90 million government contract.
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November 17, 2023
3 Texans Convicted In $145M Health Care Fraud
A Texas jury has convicted three men of running a $145 million federal health care fraud scheme by issuing illegitimate prescriptions for medical creams, according to the U.S. Department of Justice.
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November 17, 2023
GAO Says Army Needed To Weight Experience On $946M Deal
The U.S. Government Accountability Office has backed Vertex Aerospace LLC's protest over a $946.5 million Army logistics support contract, finding the Army failed to appropriately consider the relevance of performance ratings for past work done by the company.
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November 17, 2023
UK Litigation Roundup: Here's What You Missed In London
The past week in London has seen the lawyer who part-owned the company that bought out British Home Stores sued by the retail chain’s liquidators, crop protection giant Syngenta begin its fight to get its insurers to pay out for injury claims arising from illnesses caused by its pesticide, and the disputed ex-wife of a billionaire property tycoon lodge a claim against Axiom Ince and the barristers who represented her in their divorce proceedings. Here, Law360 looks at these and other new claims in the U.K.
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November 16, 2023
Israeli Spyware Firm Can't Shake WhatsApp Hacking Claims
A California federal judge has denied Israeli spyware maker NSO Group's latest bid to ax a long-running suit accusing it of hacking into the phones of 1,400 WhatsApp users, finding that potential roadblocks in retrieving relevant evidence from Israel weren't enough to stop the litigation from proceeding in the U.S.
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November 16, 2023
Michigan High Court Hits Pause On Dam Collapse Litigation
The Wolverine State's environmental and natural resources agencies have won a reprieve from responding to more than two dozen lawsuits blaming them for a dam collapse that unleashed severe floods in 2020, with the Michigan Supreme Court granting a stay while it decides whether to take up the state's appeal.
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November 16, 2023
Newest Federal Circuit Judges Split Over Yarn
In a fight over patent-protected fabrics used in bulletproof vests, the two newest judges on the Federal Circuit split with each other Thursday in a decision over how to correctly define a type of yarn, with new U.S. Circuit Judge Leonard Stark dissenting from the majority to argue that a New York federal judge got the words wrong.
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November 16, 2023
Judge Pauses Ga. City's 'Forever Chemicals' Suit
A Georgia federal judge partially froze a city's claims that 3M and DuPont polluted local water sources with toxic "forever chemicals" while the companies work toward finalizing a separate settlement resolving nationwide pollution claims.
Expert Analysis
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3 Action Items For Contractors Facing A Gov't Shutdown
Federal contractors can help ensure they are well situated to endure a potential government shutdown by reviewing project funding levels and contractual stop-work clauses, and communicating with contracting officers and subcontractors about their respective obligations, says Derek Mullins at Butzel Long.
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What Large Language Models Mean For Document Review
Courts often subject parties using technology assisted review to greater scrutiny than parties conducting linear, manual document review, so parties using large language models for document review should expect even more attention, along with a corresponding need for quality control and validation, say attorneys at Sidley.
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Checking In On How SuperValu Has Altered FCA Litigation
Four months after the U.S. Supreme Court's ruling in U.S. ex rel. Chutte v. SuperValu, the decision's reach may be more limited than initially anticipated, with the expansion of the scienter standard counterbalanced by some potential defense tools for defendants, say Elena Quattrone and Olivia Plinio at Epstein Becker.
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Tossed FIFA Bribery Convictions May Spur New DOJ Offense
After a New York federal court vacated the bribery convictions of two defendants in the U.S. Department of Justice’s sprawling FIFA probe, prosecutors may continue to pursue foreign commercial corruption through other means, albeit with some limitations, say attorneys at Cleary.
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Series
Participating In Living History Makes Me A Better Lawyer
My role as a baron in a living history group, and my work as volunteer corporate counsel for a book series fan association, has provided me several opportunities to practice in unexpected areas of law — opening doors to experiences that have nurtured invaluable personal and professional skills, says Matthew Parker at the Nebraska Department of Health and Human Services.
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Opinion
Private Equity Owners Can Remedy Law Firms' Agency Issues
Nonlawyer, private-equity ownership of law firms can benefit shareholders and others vulnerable to governance issues such as disparate interests, and can in turn help resolve agency problems, says Michael Di Gennaro at The Law Practice Exchange.
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Contract Disputes Recap: Avoid Pleading Errors' Harsh Effects
Zachary Jacobson and Stephanie Magnell at Seyfarth examine three recent cases that illustrate the severe consequences different pleading errors may have on a government contractor's ability to pursue a contract dispute, sometimes forever precluding relief regardless of the merits of a claim.
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Not To Be Outpaced: How The 2024 NDAA Addresses China
Both the House and Senate versions of the 2024 National Defense Authorization Act include numerous provisions aimed at strengthening U.S. deterrence and competitive positioning vis-à-vis China, while imposing significantly more disruptive burdens on government contractors and their suppliers than in prior years, say attorneys at Covington.
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How To Protect Atty-Client Privilege While Using Generative AI
When using generative artificial intelligence tools, attorneys should consider several safeguards to avoid breaches or complications in attorney-client privilege, say Antonious Sadek and Christopher Campbell at DLA Piper.
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How New Lawyers Can Leverage Feedback For Growth
Embracing constructive criticism as a tool for success can help new lawyers accelerate their professional growth and law firms build a culture of continuous improvement, says Katie Aldrich at Fringe Professional Development.
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Bracing For Rising Cyber-Related False Claims Act Scrutiny
Two recent cyber-related False Claims Act cases illustrate the vulnerability of government contractors, including universities, obliged to self-attest compliance with multiple controls, signal the importance of accurate internal controls and underline the benefits of self-disclosure, say Townsend Bourne and Nikole Snyder at Sheppard Mullin.
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Corporate Compliance Lessons From FirstEnergy Scandal
Fallout from a massive bribery scheme involving Ohio electric utility FirstEnergy and state officeholders — including the recent sentencing of two defendants — has critical corporate governance takeaways for companies and individuals seeking to influence government policymaking, say attorneys at Wilson Sonsini.
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Twitter Legal Fees Suit Offers Crash Course In Billing Ethics
X Corp.'s suit alleging that Wachtell grossly inflated its fees in the final days of Elon Musk’s Twitter acquisition provides a case study in how firms should protect their reputations by hewing to ethical billing practices and the high standards for professional conduct that govern attorney-client relationships, says Lourdes Fuentes at Karta Legal.
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Self-Disclosure Lessons From Exemplary Corp. Resolutions
With scant examples of corporate resolutions in the wake of U.S. Department of Justice self-disclosure policy changes last fall, companies may glean helpful insights from three recent declination letters, as well as other governmental self-reporting regimes, say Lindsey Collins and Kate Rumsey at Sheppard Mullin.
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ABA's Money-Laundering Resolution Is A Balancing Act
While the American Bar Association’s recently passed resolution recognizes a lawyer's duty to discontinue representation that could facilitate money laundering and other fraudulent activity, it preserves, at least for now, the delicate balance of judicial, state-based regulation of the legal profession and the sanctity of the attorney-client relationship, say attorneys at Ballard Spahr.