Liability For DBE Violations Under The False Claims Act

Government contract requirements for utilization of Disadvantaged Business Enterprises (DBE) firms can be a trap for the unwary. Contractors or companies considering bidding on public works projects funded or partially funded by the federal government may not realize that failure to monitor compliance, much less deliberate violations, may result in civil penalties and even criminal sanctions under the federal False Claims Act. Attorney Robert C. Pearman Jr. from the firm Gonzalez Saggio & Harlan lays out the issues, the scams and the pitfalls, and what companies need to do make sure they remain in compliance.