Federal Circuit Refuses to Apply Stricter Injunctive Relief Test to GAO Stays

We have noted in past posts that, in some cases, it may make sense to protest a solicitation evaluation or award decision at GAO simply to get a stay on the award. This is because, if you meet certain deadlines, a stay of award and performance is automatically placed on the procurement for the duration of the protest. Now, there are circumstances in which an agency can override this stay, but the burden is on the agency to show such an override is necessary. The Federal Circuit confirmed this is the case in Life Science Logistics, LLC v. United States, 172 F.4th 1357 (Fed. Cir. 2026), in which an agency tried to get the higher burden for a preliminary injunction placed on GAO protesters. This decision suggests that agencies may think more carefully about attempting overrides of stays going forward.

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Bridge to Nowhere: COFC Says Incumbents not Guaranteed Bridge Contract During CICA Stay

Losing an award can be quite tough, especially when you are the incumbent on the preceding related contract. Often, a salve for an incumbent contractor’s pain can be a bid protest which may result in a bridge contract to that incumbent for the period of the protest. This actually was a fairly common practice for many years in federal contracting. Consequently, many contractors have interpreted such an incumbent bridge contract as a requirement, not simply a course of dealing. However, the United States Court of Federal Claims has highlighted the harsh reality that the incumbent is absolutely not guaranteed a bridge contract after a bid protest, and the agency may take other actions with the named awardee without violating the stay’s requirements.

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Agency Pulls A Fast One At GAO–And Gets Caught

After a protest was filed at the GAO, a procuring agency delayed implementing the mandatory statutory suspension of work, then amended the awardee’s contract to permit the awardee to fully perform before the suspension actually kicked in.

Then the agency got caught.

In a recent decision, the GAO sustained a protest because the agency had circumvented the GAO’s bid protest process.  But while the agency got busted–a good thing–the penalty it will pay is less than satisfactory.

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Agencies May Evaluate Proposals During GAO Protests, Says Court

A procuring agency was entitled to evaluate proposals during the course of a pre-award GAO bid protest without violating the automatic stay provision of the Competition in Contracting Act.

According to a recent federal court decision, CICA merely prohibits the award of a contract during the course of a GAO protest, but does not prevent an agency from continuing to evaluate proposals.

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GAO: USDA Improperly Awarded $141 Million Sole Source Contract

The U.S. Department of Agriculture improperly awarded a $141 million sole source contract in exchange for the contractor’s agreement to withdraw a GAO bid protest.

According to a recent GAO bid protest decision, the award violated the Competition in Contracting Act, which does not permit an agency to award a sole source contract in exchange for a contractor’s promise to terminate litigation against the agency.

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