Any military or government contractor is likely well aware of the risks involved when taking on such enormous contracts. Most, understandably so, are backed by a highly skilled legal team ready and waiting to defend any type of fraud or false claim case that may arise.
Federal contracting is not for the faint of heart. Any claim of wrongdoing on the contractor’s part can easily cost hundreds of thousands, if not millions, of dollars. For this reason, contracts need to be carefully negotiated so that the terms are clear and easily understood. Additionally, contractors need to ensure that they are keeping detailed records so that they can defend themselves as fully as possible. But even that may not be enough to protect a contractor from claims of wrongdoing.
The False Claims Act of 2009 determined that anyone can report a contractor who is operating in such a way as in which to defraud the Federal Government. Also known as the “whistleblower act”, it offers protection and incentives to those who report these crimes. These acts have historically peaked during war times, with contractors performing unlawful activities such as receiving kickbacks for the awards of a subcontract, then billing the Federal government. However, not all of these claims are proven to be true, and defending them can cost a contractor everything.
With mounds of documentation to be gathered, and paperwork to complete just in order to be awarded a federal contract, contractors should never also have to worry about knowing every specific rule and regulation by heart. An experienced, skilled legal team with military and government knowledge is one of the best assets any federal contractor may obtain. Having such a support system can allow a contractor to focus on the job at hand without having to constantly worry about possible misconstrued actions or unintentional violations.