Is Your Competitor Submitting False Claims?

Recently our law firm filed a request for investigation with the City and County of San Francisco concerning a competitor of one of our clients

that was receiving sole source contracts by simply stating that they were

a sole source.

This "sole source" process had been going on for many years without

our client's knowledge.  We raised the issue of whether such

"sole source" allegations constitute "false claims" under state or

federal false claim act statutes. We believe they do.

We strongly recommend that if you have very few competitors and are

in the public sector you need to be monitoring the activities of your

competitor for such "sole source" contract awards.It is very easy to

file a public records request under the respective state or federal

Freedom of Information Act and obtain the contract documents.  You

may find, as our client did, that you have lost business or a contract

award to a competitor unfairly.

Competition in the business world is generally a very good thing and

sole source contracts are frankly the antithesis of good business

practices. Sole source contracts should be the exception-not the rule.

Make sure you monitor your competitors to make sure they are not sole

sourcing contracts that could rightfully be yours!