US Accounting Win Over Boeing Not ‘Bullet Proof,’ Attorney Says

The US government’s defeat of Boeing Co.'s government contract cost-accounting lawsuit on jurisdictional grounds was a big letdown for the federal contracting community, but the decision could be vulnerable if the company appeals, according to several government contracts attorneys.

The US Court of Federal Claims on Sept. 21 dismissed Boeing’s challenge to the government’s $1 million assessment because it said it lacks jurisdiction over challenges to the validity of regulations. The company was challenging the validity of a Federal Acquisition Regulation provision, not raising a contract breach claim as it claimed, the court concluded.

The ruling caps, for the time ...