Legal Alert - Guilt by Affiliation: A Recent Court Decision that Every Government Contractor Should Consider
by Brett W. Johnson and Matthew T. Schoonover
One of the many business strategies to win more government contracts is to “team” with other companies that provide specific specialties or qualify for socio-economic benefits. Sometimes, these partnerships are formal through a “teaming agreement” or “joint venture,” or informal without a written agreement. Under any arrangement, a government contractor is usually concerned about officially being considered “affiliated” with its project partners because of the possible loss of the socio-economic benefits the government contractor possesses. Now, a recent Eleventh Circuit case, Agility Defense & Government Services v. United States Department of Defense, has taken fears of “affiliation” to a new level.