Interim Rule

The FAR Council recently announced two new rulemaking actions aimed at further tightening restrictions on the award of federal contracts to companies that have relocated overseas in inversion transactions.  The two rules — one interim, one proposed — would reinforce the existing ban on contracting with so-called “inverted domestic corporations” (IDCs), while also imposing new, more onerous reporting obligations on government contractors.  The FAR Council’s announcement represents only the latest development in a recent surge of inversion-related measures.  As discussed further below, the shifting rules and requirements envisioned by these myriad proposals carries the potential to trip up even sophisticated contractors.
Continue Reading FAR Council Proposes New Rules on Inverted Corporations; Congress Voices Support