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Taking Bites at the Apple from Both Sides

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From a Court of Federal Claims Protest entitled:  Defense Integrated Solutions, LLC v. U. S. and Strategic Alliance Solutions LLC, No. 23-64C, April 5, 2023.



This case involves the litigation version of Freaky Friday — all of the parties have essentially switched positions, in one way or another, from the last time they were before this Court. The Small Business Administration (“SBA”) Office of Hearing and Appeals (“OHA”) previously concluded that Strategic Alliance Solutions LLC (“SAS”) — a joint venture competing for a service-disabled veteran-owned small business (“SDVOSB”) setaside procurement — was ineligible for contract award because SAS’s joint venture agreement did not comply with a relatively new SBA regulation, 13 C.F.R. § 125.18(b)(2)(ii)(A). SAS challenged that SBA OHA decision before this Court, and the parties — including both the government and the then-Defendant-Intervenor, Defense Integrated Solutions, LLC (“DIS”) — agreed to the terms of a remand order for SBA OHA to reconsider its decision. SBA OHA reversed itself. Unhappy with that result, DIS is now the Plaintiff challenging SBA OHA’s new decision on the grounds that the agency got it right the first time, while SAS has intervened to defend, rather than challenge, OHA’s new decision.


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