Publications
Government Contracts Newsletter Issue 77 - December 2009
In this newsletter:
• Important Considerations for Prime Contractors and Subcontractors in Teaming Agreements
• Watch Your Language:...Don't Use The "F" Word In Government Contracting
• Boards Have Jurisdiction to Address Contract Interpretation Claims
• Agency Refusal to Exercise 2d Option Year Was Not Arbitrary, Capricious or the Product of Bad Faith...
• What Kind of Sanctions Can A Board of Contract Appeals Impose?
• NEW SEMINAR:...The 100 Worst Mistakes In Government Contracting
• Disclaimer.
• MSHPC Legal Services
Important Considerations for Prime Contractors and Subcontractors in Teaming Agreements
Teaming agreements signed pursuant to Federal Acquisition Regulation Subpart 9.6 are often used by contractors to establish a preliminary business relationship between potential prime and subcontractors. Generally speaking, the agreements commit the parties to work as a 'team' on a proposal (or even a set of proposals) and make some sort of promise for potential future formal subcontracting agreements. Recently, in Trianco, LLC v. International Business Machines Corp., No. 08-4318 (3rd Cir. Oct. 6, 2009), an Appellate Court affirmed a lower Court's detailed opinion regarding a teaming agreement, demonstrating that an intended subcontractor got much less than it expected because of the way the teaming agreement was drafted. (See Trianco, LLC v. International Business Machines Corp., 583 F. Supp. 2d 649 (E.D.Pa. 2008)).