Other Transactions Authority (OTA): Protests And Disputes

Ready or not—Federal agencies are increasingly utilizing Other Transactions Authority (OTA) to craft agreements that are not subject to traditional procurement laws and therefore should, in theory, allow the Government greater access to innovative solutions. While the goal of OTA procedures may be to avoid bottlenecks inherent in procurement under the Federal Acquisition Regulations (FAR), in the end they may result in valuable contracts with the government. As with any such contracts, it is inevitable that disputes will arise during their formation and administration.

While there is very little precedent relating to protests of OTA awards or claims arising under OTA-awarded contracts, there are some fundamental principles and analogous decisions that suggest how this early history of OTA protests and claims may unfold. This article attempts to portray the current landscape for protests of OTA awards and contract claims arising during performance of an OTA agreement.