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Army Must Redo Tech Contracts, Court Says

WASHINGTON (CN) - The U.S. Army failed to hold fair and open competition for information technology contracts, the Court of Federal Claims ruled. Femme Comp Inc. and four other companies sued after the Army awarded contracts to five companies, two of which intervened to protect the Army's decision.

BearingPoint Inc., one of the unsuccessful companies, argued that the Army's Source Selection Authority based her decision on low prices, not on technical superiority.

Judge Sweeney agreed that the selection process was "arbitrary, capricious, and not in accordance with the law."

Sweeney ruled that the Army must re-award the contracts under the proper criteria.

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