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This month we take a look at additional obligations imposed upon small business subcontractors that are taking effect this fall and what you need to know about them. We also take a behind-the-scenes look at some of the attorneys who make Carlson Dash tick. Then, just in time for the end of summer, we look at two cases regarding too much ice.  

Our Best Foot Forward


As you know, Carlson Dash is celebrating its 5th anniversary this year. To us here at Carlson Dash, this is a testament to the commitment and perseverance of Carlson Dash attorneys in serving our clients, and on our client investing in the success of the firm as a whole.  


New Federal Rules Impose Additional Obligations on Small Business Subcontracting


Last month, the Federal Acquisition Regulation (“FAR”) Council published a Final Rule implementing regulations previously adopted by the Small Business Administration (SBA) in 2013. As issued, the Final Rule imposes additional obligations on small business subcontracting.

If your small business routinely engages subcontractors for federal contracts or regularly performs as a subcontractor on federal contracts, what do you need to know?

 

Stay Calm and Say "No Ice"

 
Earlier this year, Stacy Pincus filed a $5 million federal lawsuit in Chicago claiming that Starbucks is defrauding its customers by charging by the size of the cup, not the amount of actual fluid ounces received after ice has been added to the cup. Ms. Pincus substituted herself as plaintiff with Steven Galanis on August 18th and Mr. Galanis filed an amended class action complaint that same day.

Starbucks timely filed their motion to dismiss on August 25th arguing that none of the claims in Mr. Galanis' amended complaint state a claim for which relief could be granted, because their iced beverages meet the expectations of the reasonable consumer. Starbucks also stated the complain was flawed as it did not plausibly allege that Starbucks is misleading customers if the representation of fluid ounces does not match that of the fluid ounces served without ice.

Starbucks seems to be following the same steps taken in a similar lawsuit filed in California. Last week, U.S. District Court Judge Percy Anderson dismissed that case stating that a "reasonable customer" would understand that the drink size ordered would include ice. Looks like Starbucks is hedging their bets that the Illinois judges will share the same mindset.


 
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© Carlson Dash. August 2016 Issue.


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