Court of Federal Claims Protest

A Court of Federal Claims (COFC) protest is a bid protest filed in the specialized federal trial court that handles monetary claims against the United States, including challenges to government contract awards. Unlike the GAO forum, COFC protests are formal litigation and can result in injunctions halting contract performance.

What is a Court of Federal Claims Protest?

The U.S. Court of Federal Claims has concurrent jurisdiction with the GAO to hear bid protests under 28 U.S.C. § 1491(b). Contractors may choose COFC instead of, or after, the GAO when they want formal judicial process, broader discovery rights, or the ability to seek injunctive relief directly from an Article I federal judge.

COFC protests are governed by the court's Rules of Procedure and the Administrative Dispute Resolution Act of 1996. The court reviews the agency's procurement decision under an arbitrary and capricious standard, meaning the protester must show the agency's decision lacked a rational basis or violated applicable law. Cases are decided on an administrative record, though the court can allow limited additional discovery in certain circumstances.

Unlike the GAO, the COFC has no statutory 100-day deadline, though most bid protest cases are resolved within two to six months. There is also no automatic CICA stay upon filing, the protester must separately move for a temporary restraining order or preliminary injunction to halt contract performance. Attorneys' fees may be recovered under the Equal Access to Justice Act if the protester substantially prevails.

Why Court of Federal Claims Protests matter for government contractors

COFC is typically used for high-value or complex protests where formal discovery, judicial remedies, or the ability to appeal to the Federal Circuit are important. Because COFC decisions are subject to appellate review, they can also establish binding legal precedent affecting procurement practices government-wide. Contractors sometimes file at COFC after an unsuccessful GAO protest, though new arguments not raised at the GAO may be waived.

Example

A defense contractor loses a $500 million IDIQ award and files a protest at the GAO, which denies the protest on a technical timeliness ground. The contractor then files a COFC protest, arguing the agency's evaluation of its past performance was irrational. The court issues a temporary restraining order halting contract performance and, after reviewing the administrative record, grants a preliminary injunction directing the agency to reevaluate.

Frequently Asked Questions

When should a contractor choose COFC over the GAO for a bid protest?

COFC is preferable when the protester needs formal discovery, anticipates a complex legal argument requiring judicial precedent, or has already lost at the GAO and believes the decision was legally erroneous. High-value contracts often justify the higher cost of COFC litigation.

Does filing a COFC protest automatically stop the awarded contract?

No. Unlike a GAO protest, filing at COFC does not trigger an automatic stay. The protester must separately seek a temporary restraining order or preliminary injunction from the court, demonstrating likelihood of success on the merits, irreparable harm, and that the public interest supports a stay.

Can a contractor protest at both the GAO and COFC simultaneously?

A contractor may file at COFC regardless of GAO proceedings, but may not file at the GAO while a COFC case on the same procurement is pending. Strategically, most contractors choose one forum based on the specific grounds and desired remedy.

How long does a COFC bid protest take to resolve?

Most bid protests at COFC are resolved on cross-motions for judgment on the administrative record within two to five months, though complex cases involving discovery or appeals can take longer. There is no statutory deadline comparable to the GAO's 100-day rule.