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Keith Szeliga

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Keith Szeliga is a partner in – and former Practice Group Leader of – the Governmental Practice in the firm's Washington, D.C. office. He is also a member of the firm's Aerospace and Defense Industry Team.

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Volume IV – Key Issues in Government Contracts Due Diligence

This posting is the fourth in our ten-part series on unique issues that arise in connection with mergers and acquisitions involving government contractors and subcontractors.  Parts 1 through 3 focused on the structure of the transaction and the implications of that structure on the transfer of pending contracts and proposals.  This posting, Part 4, introduces some of the most important issues that potential buyers should consider and address during the due diligence and negotiation process.  The posting is not intended to be a detailed “due diligence checklist,” but rather a high level overview of certain key factors that are likely to impact the “go/no go” decision and the buyer’s valuation of the target company.
Continue Reading What You Need to Know About Mergers and Acquisitions Involving Government Contractors and Their Suppliers

Volume III—What Happens to Pending Proposals?

Thus far in this ten-part series, we have discussed whether and how existing contracts with the Government can be transferred to the buyer or surviving entity when an acquisition, merger, or consolidation occurs. Today, we leave the world of existing contracts and turn to bids and proposals that are pending when the deal closes.  What happens to those as-yet-unaccepted offers?  Is there anything you can do to enhance the likelihood that the Government will be willing to accept such offers notwithstanding the organizational change?  And, if you are in second place when the award is made to a “reorganized” offeror, are there possible protest grounds lurking in the deal that you could assert to obtain the award?
Continue Reading What You Need to Know About Mergers and Acquisitions Involving Government Contractors and Their Suppliers

In a Federal Supply Schedule (“FSS”) procurement conducted under FAR Subpart 8.4, all items quoted and ordered by the agency are required to be available on the vendor’s schedule contract as a precondition to its receiving the order. This means, in the case of a task order for services, that all of the solicited labor categories must be on the successful vendor’s FSS contract.
Continue Reading Understanding the Scope of Federal Supply Schedule Labor Category Descriptions: Risks and Opportunities Presented by the GAO’s AllWorld Language Consultants Decision

Volume II – Obtaining Consent to Assign a Government Contract

This posting is the second in a ten-part series on unique issues that arise in the acquisition and disposition of a company that performs government contracts or subcontracts.  Part 1 focused on the types of deal structures that are subject to the anti-assignment statutes, and therefore require Government consent.  We explained that consent is not required for stock purchases, is required for asset sales, and may be required for other types of transactions, including mergers.  This posting, Part 2, addresses the consent process, including the who, what, when, and how of obtaining a novation agreement.  It also includes practical tips, based on our experience, for navigating the novation process efficiently and successfully.
Continue Reading What You Need to Know About Mergers and Acquisitions Involving Government Contractors and Their Suppliers

Volume I – The Structure of the Deal and Government Consent

With today’s posting, we begin a ten-part series on unique issues that arise in connection with the acquisition or disposition of a company that performs government contracts or subcontracts. These issues obviously come into play when the target company fits the bill as an established “government contractor,” replete with all of the infrastructure, systems, and processes that one normally associates with that term.  They also come into play, however, in connection with companies that sell standard commercial items to the Government under the auspices of the General Services Administration’s schedule contracts and companies that operate at all tiers within the Government’s supply chain.  They apply whether such companies are selling specialized products manufactured  to Government specifications or commercial items adopted or adapted for use, ultimately, by the Government.
Continue Reading What You Need to Know About Mergers and Acquisitions Involving Government Contractors and Their Suppliers

Companies invest vast resources in the development of intellectual property with the legitimate expectation that they will be the principal, if not exclusive, beneficiaries of their intellectual endeavors. Protecting technical…
Continue Reading Creating Intellectual Property is Hard; Losing It to Uncle Sam is Easy