As a confusing web of domestic preference rules are strengthened and the U.S. government increasingly turns to federal contractors to address national security concerns, Bass, Berry & Sims attorneys Todd Overman and Scott Gallisdorfer examined steps contractors can take to insulate themselves from potential False Claims Act (FCA) violations. As the authors note, “An alphabet soup of acronyms like BAA, BABA (Build America, Buy America Act), and TAA (Trade Agreements Act), as well as the Berry Amendment, all are ‘material’ requirements for purposes of the FCA.”

In the article, the authors outline the following “basic steps companies can take to help ensure they do not run afoul of the FCA.”

  1. Establish compliance policies and training.
  2. Set-up a compliance hotline.
  3. Designate a specific compliance officer.

Todd and Scott explain that “[w]ith the viability of the U.S. DIB being a priority of the Biden administration, even well-intentioned government contractors can find themselves in the enforcement crosshairs” and recommend that Contractors “take steps to shore up their FCA-tailored compliance programs now, before the government or a qui tam whistleblower comes calling.”

The full article, “False Claims Act: A Tool Increasingly Used to Revitalize the Defense Industrial Base,” was published by Thomson Reuters Westlaw Today on December 21 and is available online or in the PDF provided.