Failure to comply with the federal trade agreements act

The Federal Trade Agreements Act restricts the procurement of goods and services by the U.S. government from countries with which the U.S. does not have satisfactory trade relationships.  This means that vendors can only sell goods to the government that are made (or “substantially transformed,” as provided in the law) in “eligible” countries – that is, those that have reciprocal trade agreements with the U.S., such as Canada, Mexico, England, France and Japan.  Countries that are not eligible include: China, Taiwan, Malaysia and South Africa.

To be included in the GSA Schedules Program, vendors must certify that they are compliant with the requirements of the Trade Agreements Act.  If a vendor sells goods made in non-eligible countries to government agencies, they may be in violation of the Trade Agreements Act, and thus in violation of the False Claims Act.

If you have, or think you have, witnessed a violation of the Trade Agreements Act, contact Michael S. Bigin to discuss the possibility of bringing a lawsuit on behalf of the government to recover damages for the contractor’s improper conduct.