What are the fact patterns involved in false negotiation or defective pricing cases?
The Government’s contracting process is governed by the principles outlined in the Truth in Negotiations Act (sometimes referred to as “TINA”). All Government contracts which involve negotiated pricing (rather than, for example, catalog pricing or competitive bidding) usually require compliance with the Truth in Negotiations Act. The Truth in Negotiations Act broadly requires that Government contractors must be honest and truthful with the Government and must disclose the actual costs of providing a good or service. These negotiations must be based upon accurate cost and pricing data. Otherwise, the Government will rely upon this data and pay too high a price for the goods or services, resulting in an unreasonably high rate of profit for the contractor. The Government often requires cost and pricing information in negotiation contracts because there is no “market” among dozens of competitors for the specialty goods the Government is procuring. The TINA exists because the Government nee
