PRACTICE AREA(S): General Litigation
CLIENT / INDUSTRY: Manufacturer of military aircraft engine parts
ATTORNEY(S): Pete Comodeca, Tracy Scott Johnson, Jim Lang, Kevin Carter
Situation Summary:
Calfee’s client, a specialized ISO certified airplane engine part manufacturer, provided parts to a substantial federal government prime contractor to be incorporated into military aircraft. Eventually, an aircraft went down and an investigation into the root cause was conducted by the government and the prime contractor. One of the potential root causes was an allegedly non-conforming part manufactured by Calfee’s client. The initial damage assessment by the government exceeded $1 billion and resulted in the replacement of all parts for safety and national security reasons. The assessment also included an allegation of False Claims Act violations against the manufacturer and the prime contractor, and was accompanied by Inspector General subpoenas seeking all contract documents.
Calfee Approach:
Calfee guided the client in responding to the Inspector General subpoena and began a dual track approach of having the client fully cooperate with the prime contractor while examining False Claims Act law to develop a defense against the government allegations. Calfee worked with our client to make joint presentations with the prime contractor to the government in the areas of manufacturing techniques, product inspection techniques, quality programs and their implementation, and responsive analysis to the alleged damage components of the government.
Resolution:
Following a multi-tiered mediation, including ex parte sessions by each party with the mediator, counsel only sessions with the mediator, and client and counsel participation in multiple mediation sessions, the client has not been asked to contribute any additional monies or in-kind product towards resolution of the matter.
The results described in each case study are dependent on the specific factual and legal circumstances of the matter described, and constitute neither legal advice nor a guarantee of similar results with respect to any other matter.