On July 8, 2022, the U.S. Department of Justice announced a $9 million
settlement with federal government contractor Aerojet Rocketdyne, Inc. for
alleged violations of the False Claims Act in a case pending in the Eastern
District of California. The settlement results from alleged false
statements by Aerojet related to compliance with Department of Defense
cybersecurity requirements described in DoD Federal Acquisition Regulation
Supplement clause 252.204-7012 and National Aeronautics and Space
Administration Federal Acquisition Regulation Supplement clause
1852.204-76. The settlement further underscores DOJ’s commitment to FCA
enforcement actions involving cybersecurity considerations related to its
Civil Cyber-Fraud Initiative announced in October 2021. The settlement
serves as a clear reminder to contractors that DOJ and the plaintiffs’ qui tam bar are taking the Cyber-Fraud Initiative seriously.

Read on to learn why a close understanding of and adherence to federal
agency contractual cybersecurity requirements are important mandates for
the government contracting community broadly and the defense industrial
base in particular.

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Photo of Edwin O. Childs Edwin O. Childs

As a leader of the firm’s Defense, National Security and Government Contracting industry team, Ned Childs is a government contract and investigations and enforcement attorney who represents companies across a wide range of sectors, including the defense, services, technology, and aerospace industries.

Photo of Todd R. Steggerda Todd R. Steggerda

Todd Steggerda serves as McGuireWoods’ Deputy Managing Partner for Litigation, overseeing and managing the firm’s nine litigation departments and roughly 500 litigators in the U.S. and the UK. He is the former chair of the firm’s Government Investigations and White Collar Litigation Department…

Todd Steggerda serves as McGuireWoods’ Deputy Managing Partner for Litigation, overseeing and managing the firm’s nine litigation departments and roughly 500 litigators in the U.S. and the UK. He is the former chair of the firm’s Government Investigations and White Collar Litigation Department, which Law360 recently selected for its prestigious “Practice Group of the Year” award for its notable work in 2019. In a dynamic practice spanning 20 years in Washington, Todd has resolved a diverse range of high-stakes government investigations, regulatory enforcement, and litigation matters, including dozens of matters investigated by the civil and criminal divisions of the Department of Justice, the Department of Defense, and numerous other federal and state agencies and investigative bodies.

Photo of Abram J. Pafford Abram J. Pafford

Abe is an experienced litigator who represents government contractors across the full spectrum of government contract matters, including litigation, appeals, administrative proceedings and investigations. As a member of the firm’s nationally recognized Government Investigations and White Collar department, Abe prosecutes claims arising under…

Abe is an experienced litigator who represents government contractors across the full spectrum of government contract matters, including litigation, appeals, administrative proceedings and investigations. As a member of the firm’s nationally recognized Government Investigations and White Collar department, Abe prosecutes claims arising under the Contract Disputes Act, defends against False Claims Act lawsuits initiated by the Department of Justice, and represents protestors and intervenors in pre-award and post-award bid protests before the United States Court of Federal Claims and the GAO.

Photo of Andrew Konia Andrew Konia

Andrew’s practice is singularly focused on protecting clients’ businesses and data, anticipating disputes, and strengthening their competitive position in the marketplace.

Photo of Jason M. Vespoli Jason M. Vespoli

Jason focuses his practice on federal and state procurement, government technology, bid protests and government contract disputes, and regulatory compliance. He utilizes experience in state government, government technology, and complex procurement to solve problems in innovative and efficient ways.

McGuireWoods LLP

At McGuireWoods, we deliver quality work, personalized service and exceptional value. We use technology to provide efficient legal solutions and employ a diverse workforce to bring real-world and innovative perspectives to meeting our clients’ needs. With 1,100 lawyers and 21 strategically located offices…

At McGuireWoods, we deliver quality work, personalized service and exceptional value. We use technology to provide efficient legal solutions and employ a diverse workforce to bring real-world and innovative perspectives to meeting our clients’ needs. With 1,100 lawyers and 21 strategically located offices worldwide, McGuireWoods uses client-focused teams to serve public, private, government and nonprofit clients from many industries, including automotive, energy resources, healthcare, technology and transportation.