Court says DOD's minority contractor rule is unconstitutional
The U.S. Court of Appeals decided against the rule because there was no real proof that DOD has discriminated against the firms in awarding contract.
A court has ruled that the Defense Department's minority contractor rule is unconstitutional, Business Week reports.
A three-judge panel of the U.S. Court of Appeals decided against the rule because there was no real proof that DOD has discriminated against the firms in awarding contract, according to the article. The rule requires that minority-owned firms must get at least 5 percent of defense contracting dollars.
The decision blocks further use of the rule.