Jenner & Block

“The ‘Influence Peddler’ Revisited: A Look at the Evolution of the US Covenant against Contingent Fees in the Procurement Marketplace,” The Government Contractor

In this article, Jenner & Block Associate Sati Harutyunyan examines the long-standing covenant prohibiting government contractors from engaging a person or agency to solicit or obtain a government contract in exchange for a contingent fee.  Ms. Harutyunyan and her co-author, Collin David Swan, explore the background of the covenant and some exceptions to it.  The authors conclude that “the use of agents and intermediaries to drum up business will likely continue in both the domestic and international marketplace for the foreseeable future, and it is general best practice for contractors to scrutinize their third-party relationships appropriately to ensure that they do not employ agents that, with or without the company’s knowledge, seek to improperly influence procurement decisions.”