Justia Aerospace/Defense Opinion Summaries

Plaintiffs, Woodward employees, filed a qui tam action under the False Claims Act, alleging that Woodward falsely certified helicopter engine parts that it sold to the government. Plaintiffs had complained that the sensors at issue did not meet quality standards and had refused to work on the order. Following an investigation, a Defense Contract Management Agency Technical Specialist concluded that there was “nothing either incorrect or wrong with the procedures, assembly, or testing of the sensors.” The government continues to order, pay for, and use Woodward’s sensor The Seventh Circuit affirmed summary judgment in favor of Woodward, agreeing that even if Woodward made false statements to the government, no reasonable jury could find that it made the statements knowingly or that the statements were material. View "Marshall v. Woodward, Inc." on Justia Law

Mokdad, a naturalized U.S. citizen, alleges that he has been denied boarding on commercial airline flights between the U.S. and his native country, Lebanon because he was on the No Fly List. Mokdad applied for redress under the Department of Homeland Security Traveler Redress Inquiry Program (TRIP). Mokdad received a letter that did not confirm or deny whether he was on the List but informed him that “we have conducted a review of any applicable records in consultation with other federal agencies ... no changes or corrections are warranted at this time.” The letter notified him of his right to file administrative appeal with the Transportation Security Administration (TSA) within 30 days, that the TRIP determination would become final if he did not, and that final determinations are reviewable by the Court of Appeals under 49 U.S.C. 46110. Mokdad did not file a TSA administrative appeal or a petition with the Court of Appeals but filed a complaint in the Eastern District of Michigan against the Attorney General, the FBI, and the Director of the Terrorist Screening Center. Mokdad did not name TSA or any TSA officer. The Sixth Circuit reversed dismissal, finding that the district court had jurisdiction, but declined to address the challenge to the adequacy of procedures to contest inclusion on the No Fly List, for failure to join a necessary party. View "Mokdad v. Lynch" on Justia Law

The U.S. Air Force solicited bids from private companies to supply equipment and services to build a new radar system. Raytheon, Northrop Grumman, and Lockheed Martin cleared early hurdles; each received a solicitation for proposals for Engineering and Manufacturing Development. The Air Force subsequently sent Evaluation Notices to Raytheon and Northrop that “contractors would not be permitted to use IR & D costs to reduce their costs of performing . . . if those costs were implicitly or explicitly required for contract performance.” Raytheon objected; Northrop did not.. The Air Force then changed its view and accepted Raytheon’s treatment of certain costs as IR & D costs, but never communicated its new view to Northrop. In final proposals, Raytheon proposed IR & D cost reductions, whereas Northrop did not. The Air Force awarded the contract to Raytheon. Northrop and Lockheed filed protests with the Government Accountability Office (31 U.S.C. 3551). In response, the Air Force “decided to take corrective action” and to reopen discussions. Raytheon filed a protest under 28 U.S.C. 1491(b) to challenge the decision to take corrective action. The Federal Circuit affirmed denial of the protest, concluding that the reopening decision was proper based on the disparate-information violation. View "Raytheon Co. v. United States" on Justia Law

The National Federation of Federal Employees Local 1442 filed a group grievance on behalf of 138 NFFE bargaining unit employees at Letterkenny Army Depot (LEAD); Local 2109 filed two grievances on behalf of all of bargaining unit employees at Watervliet Arsenal (WVA). In both grievances, the Union challenged the furloughing of bargaining unit employees for six discontinuous days between July and September in Fiscal Year 2013. The furloughs were the result of an automatic process of federal agency spending reductions called “sequestration.” Arbitrator Kaplan ruled that the furloughs of the employees at LEAD were in accordance with law. Months later, Arbitrator Gross ruled that the furloughs of WVA security employees were not in accordance with law, but that the furloughs of non-security bargaining unit employees at WVA were in accordance with law. The Federal Circuit upheld both decisions. Arbitrators Kaplan and Gross had substantial evidence before them demonstrating that the furlough decisions were reasonable management solutions to the financial restrictions placed on DOD by the sequester, thus promoting the efficiency of the service. View "Nat'l Fed'n of Fed. Employees v. Dep't of the Army" on Justia Law

Astornet alleges that it is sole exclusive licensee and owner of all rights in the 844 patent, issued in 2009 to Haddad as the inventor and entitled “Airport vehicular gate entry access system” and asserted the patent against NCR, MorphoTrust USA, and BAE Astornet alleged that the three had contracts with the Transportation Security Administration (TSA) to supply boarding-pass scanning systems; that TSA’s use of the equipment infringed and would infringe the patent; and that NCR and MorphoTrust were bidding for another contract to supply modified equipment whose use by TSA would also infringe. The Federal Circuit affirmed dismissal, finding that Astornet’s exclusive remedy for the alleged infringement was a suit against the government in the Court of Federal Claims under 28 U.S.C. 1498. View "Astornet Techs., Inc. v. BAE Sys., Inc." on Justia Law

Defendants, naturalized U.S. citizens living in Minnesota, are from Somalia. In 2008, the FBI learned that Ali had contacted al Shabaab, a terrorist organization in Somalia. Both women were charged with conspiring to provide material support to al Shabaab, 18 U.S.C. 2339B(a)(1); Ali with 12 counts of providing material support; and Hassan with making false statements, 18 U.S.C. 1001(a)(2). The government informed defendants that it intended to offer evidence obtained under the Foreign Intelligence Surveillance Act (FISA), 50 U.S.C. 1801. They requested disclosure and suppression of all FISA-obtained evidence. The government filed a declaration by the Attorney General that disclosure of the materials or an adversary proceeding would harm national security. After ex parte review, the court denied the defense motions. At the final status conference, Ali remained seated when court was convened. The court issued ordered all parties to stand when court was called to order. Despite counseling by “learned clerics” she continued to refuse to stand. The court cited Ali for 20 instances of contempt. After a 10-day trial the jury returned a guilty verdict on all counts. For Ali, the court calculated a guidelines range of 360 months to life in prison and imposed a sentence of 240 months’ imprisonment. For Hassan, the court calculated a guidelines range of 360 to 372 months and imposed a sentence of 120 months’ imprisonment. The Eighth Circuit affirmed. View "United States v. Ali" on Justia Law

Dobek was an engineer in charge of providing parts for F-16 fighter planes owned by the Venezuelan Air Force. The U.S. State Department announced that munitions, including parts for military aircraft, could no longer be exported to Venezuela without an export license, and revoked existing licenses. Dobek created firms to carry on business with Venezuela. The Venezuelan Air Force told Dobek that it needed canopy seals for its F-16s. Suspecting that Dobek was selling canopy seals to Venezuela, FBI agents executed a warrant at Dobek’s home, where they found a purchase order for the seals, with no purchaser named. Dobek had certified that he understood that the “products … to be provided are controlled by the … International Traffic in Arms Regulations.” He told a friend that he was looking for a box to ship “cockpit seals.” FedEx shipping records revealed that Dobek had shipped a box, labeled as “base molding,” to Venezuela after that discussion. This pattern of purchase and shipment was repeated a year later. Dobek was convicted of exporting munitions illegally, 22 U.S.C. 2778(b)(2), and conspiracy, 18 U.S.C. 371. The Seventh Circuit affirmed, rejecting challenges to the admissibility of an alleged co-conspirator’s emails, the sufficiency of the evidence, and the validity of the jury instruction on willfulness, stating that evidence of willfulness was overwhelming. View "United States v. Dobek" on Justia Law

The Y-12 National Security Complex in Oak Ridge, Tennessee manufactures and tests components for nuclear weapons and stores highly enriched uranium, much of which is eventually “down-blended” for civilian use, at a Highly Enriched Uranium Materials Facility (HEUMF). It is not used to store or otherwise manufacture nuclear weapons or for military operations. An 82 year-old nun and two Army veterans, ages 57 and 63, cut through four layers of fences and reached the HEUMF, spray-painted antiwar slogans, hung crime tape and banners with biblical phrases, splashed blood, and sang hymns. When a guard arrived, the group offered him bread and read aloud a message about “transform[ing] weapons into real life-giving alternatives to build true peace.” The group surrendered, having caused $8,000 of damage to government property. The government charged them with injuring government property, 18 U.S.C. 1361, and violation of the peacetime provision of the Sabotage Act, 18 U.S.C. 2155(a), which applies if the defendant acted “with intent to injure, interfere with, or obstruct the national defense,” and authorizes a sentence of up to 20 years. A jury convicted the defendants on both counts. The Sixth Circuit reversed in part; the defendants lacked the intent necessary to violate the Sabotage Act. View "United States v. Walli" on Justia Law

The Transportation Security Administration (TSA) prohibited Ege, a pilot for Emirates Airlines, from flying to, from, or over the United States. Ege had experienced travel problems and had submitted an online inquiry to the DHS’s Traveler Redress Inquiry Program. He believes the TSA’s prohibition is based on his alleged inclusion on the “No-Fly List,” a subset of the Terrorist Screening Database (TSDB) used by the TSA to “deny boarding of individuals on commercial aircraft operated by U.S. carriers or flying to, from, or over the United States.” He sought removal from the No-Fly List or, at a minimum, a “meaningful opportunity to be heard.” The D.C. Circuit dismissed his petition for lack of standing and lack of jurisdiction. Neither the TSA nor the Department of Homeland Security (DHS), the only two rnamed agencies, has “authority to decide whose name goes on the No-Fly List.” The Terrorist Screening Center, which is administered by the Federal Bureau of Investigation), is “the sole entity with both the classified intelligence information” Ege wants and “the authority to remove” names from the No-Fly List/TSDB. View "Ege v. Dep't of Homeland Sec." on Justia Law

In 1983, Pratt & Whitney made false statements to the Air Force while competing with GE to supply fighter jet engines. Pratt did not obtain more business and the fraud was discovered. The government filed a 1998 action before the Armed Services Board of Contract Appeals seeking relief under the Truth in Negotiations Act, and a 1999 federal court action, seeking relief under the False Claims Act and common law restitution. The government lost the administrative action. While Pratt’s statements violated the truth-in-negotiation requirements, the Board refused to lower the price of the contracts retroactively (the remedy permitted by the Act) because the Air Force had relied on the competitive bids, not the 1983 false statements, in determining a reasonable price for the contracts. The Federal Circuit affirmed. After it was established that Pratt violated the False Claims Act and that it owed the government $7 million in statutory penalties, the case was remanded for damages calculation. The district court awarded $657 million. The Sixth Circuit remanded again, noting that the matter has been in litigation for 17 years. The award was not supported by the evidence given the government expert’s refusal to account for the competition between the companies in setting a fair market value for the engines. View "United States v. United Techs. Corp." on Justia Law