Summary: Currently, an individual or business can file a protest challenging a federal contract award or the procedure under which the offers were solicited. Protests may be filed before or after the contract is awarded. Under the Administrative Dispute Resolution Act of 1996, the 94 U.S. district courts and the United States Court of Federal Claims have the same jurisdiction to decide bid protest cases. District courts and the U.S. Court of Federal Claims may grant any relief that they consider appropriate, although monetary relief is limited to bid preparation and proposal costs. District court jurisdiction for bid protest cases is scheduled to expire on January 1, 2001. Some groups support this development. Others oppose it. This report reviews the cases, particularly the small business cases, that have been filed in district courts and the U.S. Court of Federal Claims since the act took effect at the end of 1996. GAO (1) identifies the number of bid protests filed in the U.S. district courts and the U.S. Court of Federal Claims between January 1997 and April 1999 that were filed by small businesses, the type of agencies involved (civilian or defense), and the amount of the procurement at issue; (2) identifies the perceived advantages and disadvantages, particularly for small businesses, of filing bid protests in each judicial forum; and (3) provides information on the characteristics of the district courts' and U.S. Court of Federal Claims' bid protest cases, particularly those filed by small businesses, that could be used to assess perceived advantages and disadvantages.
