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Federal Contractor Misconduct Database (FCMD)

The federal government routinely awards contracts to companies with histories of misconduct, including contract fraud and other violations. POGO believes that providing this website will help to improve contracting decisions and increase public knowledge of how the government spends billions of taxpayer dollars each year. Read more…

Misappropriation of Proprietary P-3 Aircraft Data

Lockheed Martin Corp. claimed L-3 Communications and its subsidiary, L-3 Communications Integrated Systems, Inc. (collectively referred to as “L-3 Comm” in the lawsuit), deliberately misappropriated its proprietary specifications and designs associated with its P-3 series of marine patrol, anti-submarine aircraft. Lockheed accused L-3 Comm of improperly using the data to secure a contract with the government of South Korea to refurbish eight of the Lockheed planes. In May 2009, a jury found in favor of Lockheed and awarded it over $37 million in damages. In March 2010, the court threw out the veridct and ordered a new trial, finding that Lockheed withheld certain pertinent documents during discovery. In October 2010, the parties settled the lawsuit, entering into a licensing agreement under which each party licensed to the other the right to use intellectual property related to P-3 aircraft.

Misconduct Type
Intellectual Property
Enforcement Agency
Non-Governmental
Contracting Party
None
Court Type
Civil
Disposition
Settlement
Date of Verdict
5/21/2009
Contractors Involved Penalty
Total
L-3 Communications Unknown
Further Information Released
Complaint 6/4/2009
Jury Verdict 6/4/2009

Federal Contractor Misconduct Database