On May 20, 2026, the U.S. Department of Justice (DOJ) announced a settlement under the False Claims Act (FCA) with two Canada-based steel companies, Farjess Inc. and Royal Canadian Steel Inc., and their part-owner and president, Feroz Jessani, pursuant to which the companies and Jessani agreed to pay $19 million to resolve allegations that they
DoW Proposed Rule Would Impose New FOCI Disclosure and Risk Mitigation Requirements on Thousands of Defense Contractors
On May 7, 2026, the Department of War (DoW) published a proposed rule that would dramatically expand the population of defense contractors that are required to disclose beneficial ownership and foreign ownership, control, or influence (FOCI) information to the Defense Counterintelligence and Security Agency (DCSA) and to mitigate identified FOCI risks. At present, DCSA addresses
Going Beyond Federal Class Action Rule Kills Virginia’s Bill — For Now
On May 19, 2026, Virginia Gov. Abigail Spanberger announced that she intends to veto what would have been Virginia’s first class action statute. Virginia and Mississippi remain the only two states without a class action mechanism.
Class actions in Virginia had been discussed for some time, and with Democratic majorities in both chambers and a
New Executive Order Mandates Shift to Fixed-Price Contracting, Requires Review of Largest Cost-Reimbursement Contracts
On April 30, 2026, President Trump signed an Executive Order titled “Promoting Efficiency, Accountability, and Performance in Federal Contracting” (the “Order”), directing executive branch agencies to default to fixed-price contracts and contracts that tie contractor profit to performance-based metrics in federal procurement. The Order also requires agencies to review and, to the maximum
Monitor Upcoming Negotiations of Education Department’s AIM Committee to Inform Public Comments on Accreditation Amendments
Stakeholders negotiating sweeping amendments to federal accreditation regulations proposed by the U.S. Department of Education (ED) will begin their final session to achieve consensus on May 18, 2026.
A week-long effort in April revealed deep divisions among negotiators on the Accreditation, Innovation, and Modernization (AIM) Committee of the ED. Debates broke out over the ED’s
DOJ’s New West Coast Strike Force Puts Health Care Providers on Notice
On April 30, 2026, the Department of Justice’s (“DOJ”) National Fraud Enforcement Division (“Fraud Division”) announced the formation of the West Coast Health Care Fraud Strike Force, a multi-district enforcement initiative spanning Arizona, Nevada, and the Northern District of California. [1] Announced by Assistant Attorney General Colin McDonald, the new Strike Force signals a significant
HHS Inspector General Reminder: Kickback Liability Turns on Intent, Not Market Value or Stark Law Compliance
The U.S. Department of Health and Human Services Office of Inspector General (OIG) updated its FAQs on Fraud and Abuse Authorities to add a new answer on fair market value (FMV) in FAQ 17 and revise the answer on how the physician self-referral law (Stark Law) overlaps with the federal Anti-Kickback Statute (AKS) in FAQ
FAR Council Issues Implementation Guidance for Executive Order 14398: New DEI Contract Clause Requirements for Federal Contractors
On April 20, 2026, the Federal Acquisition Regulatory (FAR) Council issued agency implementation guidance for Executive Order (E.O.) 14398, “Addressing DEI Discrimination by Federal Contractors,” which President Trump signed on March 26, 2026. The guidance introduces a new contract clause — FAR 52.222-90 — and establishes tight deadlines for agencies to incorporate the clause
U.S. Court Blocks Texas Food Labeling Statute; Manufacturers Should Watch Appeal
A federal court blocked the enforcement of a Texas law requiring food manufacturers to place conspicuous warning labels on products containing one or more of the statute’s listed ingredients. The court’s decision in American Beverage Association, et al. v. Paxton, Case No. 6:25-CV-00566-ADA-DTG (W.D. Tex., Dec. 5, 2025) — and the appeal that followed — could
As FTC Increases Enforcement of Made in USA Claims, Companies Should Prepare for More Regulatory Attention
On March 13, 2026, the Trump administration issued an executive order directing the Federal Trade Commission (FTC) to prioritize enforcement actions against unlawful Made in USA statements, signaling heightened scrutiny of country-of-origin representations. In the wake of this directive, on April 14, 2026, the FTC announced enforcement actions and settlements involving three companies alleged to