WASHINGTON (AP) — The Department of Veterans Affairs failed to comply with a law aimed at increasing the number of federal contracts awarded to small businesses owned by disabled veterans, a unanimous Supreme Court has ruled.
The justices sided with Kingdomware Technologies Inc., a veteran-owned contractor based in Maryland that said it should have been considered to provide services for a VA medical center.
The case is important to veterans groups that claimed the VA was wrongly interpreting bidding requirements in a way that deprived thousands of small companies owned by veterans.
Those companies want a slice of the billions of dollars in contracts the VA awards every year.
Federal law requires the agency to use a bidding process if two or more disabled veteran-owned companies can offer service at a fair and reasonable price.
But the VA argued the “rule of two” does not apply when it buys goods and services from vendors that already have contracts with the agency under a system called the Federal Supply Schedule.
Justice Clarence Thomas said the rule applies to all contract determinations.
A federal appeals court had said the VA did not have to follow the rule of two if it otherwise met the goal of awarding between 7 percent and 12 percent of all contracts to companies owned by disabled veterans.
But Thomas said meeting annual benchmarks does not allow the VA to ignore a mandatory contracting rule.
- Posted June 21, 2016
- Tweet This | Share on Facebook
Justices rule against VA in disabled vets contract dispute
headlines Macomb
headlines National
- Nikole Nelson champions a national model to bring legal services to those without access
- Social media and your legal career
- OJ Simpson estate accepts $58M claim by father of Ron Goldman, killed along with Nicole Brown Simpson
- Law prof who called for military action and end to Israel sues over teaching suspension
- The advantages of using an AI agent in contract review
- Courthouse rock, political talk lead to potential suspension for Elvis-loving judge




