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Government Liable for $99 Million in Indemnification Under Government Contracts

Client Alert | 1 min read | 01.26.17

In Shell Oil Co. et al. v. U.S. (Jan. 6, 2017), the Court of Federal Claims held that the U.S. Government was liable for over $99 million in breach of contract damages when it “reneged on contractual promises” to indemnify several oil companies under a Taxes Clause for certain costs incurred as a result of environmental damage arising out of WWII-era contracts for the production of military aviation gas (see previous discussion here and here). The decision, which may encourage other contractors to pursue recovery under similar contract provisions such as “hold harmless” clauses in facilities contracts, and indemnification clauses authorized under Public Law 85-804, admonished the Government that the damages included “$30,991,111.02 in interest which the U.S. taxpayers could have avoided paying, if the Government had lived up to its obligations, instead of wasting years in litigation.”

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Client Alert | 3 min read | 11.24.25

Bipartisan State Attorneys General and Industry Leaders Launch National Task Force on Artificial Intelligence

Utah Attorney General Derek Brown (R) and North Carolina Attorney General Jeff Jackson (D) have announced a nationwide bipartisan “AI Task Force,” in partnership with major AI developers (including OpenAI and Microsoft) and the Attorney General Alliance (AGA), a bipartisan nonprofit that serves as a forum for attorneys general around the United States to discuss and collaborate on policy and enforcement initiatives....