DOJ awards $5.7M contract for legal services to LIPKA.COM, INC., with a 5-month duration
Contract Overview
Contract Amount: $5,697 ($5.7K)
Contractor: Lipka.com, Inc.
Awarding Agency: Department of Justice
Start Date: 2026-04-09
End Date: 2026-09-30
Contract Duration: 174 days
Daily Burn Rate: $33/day
Competition Type: COMPETED UNDER SAP
Number of Offers Received: 1
Pricing Type: TIME AND MATERIALS
Sector: Other
Official Description: DEPOSITION
Place of Performance
Location: NEW ORLEANS, ORLEANS County, LOUISIANA, 70116
Plain-Language Summary
Department of Justice obligated $5,696.94 to LIPKA.COM, INC. for work described as: DEPOSITION Key points: 1. The contract's value of $5.7 million for a 5-month period suggests a high per-diem rate for legal services. 2. Competition dynamics are unclear as the contract was competed under SAP, which may limit broad market engagement. 3. The 'TIME AND MATERIALS' contract type introduces cost uncertainty, as final spending can fluctuate based on hours worked. 4. Performance context is limited to 'All Other Legal Services,' lacking specificity on the exact nature of the legal support. 5. The contract falls within the professional services sector, specifically legal support for government operations.
Value Assessment
Rating: fair
The contract value of $5.7 million over approximately 5 months translates to a significant daily expenditure. Without specific details on the services rendered or the number of personnel involved, it is difficult to benchmark against similar contracts. The 'TIME AND MATERIALS' pricing model, while flexible, can lead to higher costs if not closely managed, making value for money a potential concern.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was competed under SAP (Simplified Acquisition Procedures), which typically involves a less extensive solicitation process than full and open competition. The number of bidders is not specified, but SAP is generally used for smaller procurements, suggesting a potentially limited pool of interested parties. This could impact price discovery and potentially lead to less competitive pricing.
Taxpayer Impact: For taxpayers, limited competition under SAP may mean that the government does not secure the lowest possible price for these legal services, as a wider range of potential providers were not actively solicited.
Public Impact
The Department of Justice benefits from specialized legal services to support its operations. The contract provides legal support, though the specific nature of these services is not detailed. The geographic impact is likely concentrated around the agency's operational areas, with potential for remote support. Workforce implications are minimal for the public, but the contract supports the agency's internal legal staff and potentially external counsel.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for cost overruns due to the 'TIME AND MATERIALS' pricing structure.
- Lack of detailed service description makes it hard to assess the necessity and scope of the legal support.
- Limited competition may have resulted in a higher price than could be achieved through broader solicitation.
Positive Signals
- Contract awarded to a specific entity, indicating a need for specialized legal expertise.
- The contract has a defined period of performance, allowing for periodic review and potential re-competition.
- Awarded by the Department of Justice, a primary federal law enforcement agency, suggesting alignment with core mission requirements.
Sector Analysis
This contract falls within the professional, scientific, and technical services sector, specifically legal services. The federal government is a significant consumer of legal services, both for internal counsel and for specialized external support. Benchmarking this contract's value is challenging without more granular data on the specific legal services provided and the prevailing market rates for such expertise.
Small Business Impact
Information regarding small business set-asides or subcontracting plans is not provided in the data. Therefore, the direct impact on the small business ecosystem cannot be assessed from this contract alone.
Oversight & Accountability
Oversight would typically be managed by the contracting officer and program officials within the Department of Justice. Accountability measures would be tied to the delivery of legal services as per the contract's terms and conditions. Transparency is limited by the available data, with no specific mention of public reporting or Inspector General involvement.
Related Government Programs
- Department of Justice Legal Services Contracts
- Federal Professional Services Procurement
- Time and Materials Contracts
- Simplified Acquisition Procedures
Risk Flags
- Potential for cost overruns due to T&M contract type.
- Lack of specific service details hinders performance assessment.
- Limited competition may impact price competitiveness.
- Contractor's past performance data is unavailable.
Tags
department-of-justice, legal-services, professional-services, competed-under-sap, purchase-order, time-and-materials, all-other-legal-services, louisiana, large-contract, short-duration
Frequently Asked Questions
What is this federal contract paying for?
Department of Justice awarded $5,696.94 to LIPKA.COM, INC.. DEPOSITION
Who is the contractor on this award?
The obligated recipient is LIPKA.COM, INC..
Which agency awarded this contract?
Awarding agency: Department of Justice (Offices, Boards and Divisions).
What is the total obligated amount?
The obligated amount is $5,696.94.
What is the period of performance?
Start: 2026-04-09. End: 2026-09-30.
What is the specific nature of the 'All Other Legal Services' being procured?
The provided data categorizes the service under NAICS code 541199, 'All Other Legal Services.' This broad classification indicates that the contract is for legal services not specifically covered by other more defined categories within legal services. Without further documentation or a detailed statement of work, it is impossible to ascertain the precise nature of these services. They could range from general counsel support, litigation assistance, regulatory advice, or specialized legal research. Understanding the specific tasks is crucial for evaluating the necessity, efficiency, and overall value of the contract.
How does the per-diem rate for this contract compare to market benchmarks for similar legal services?
To assess the per-diem rate, we would need to estimate the number of workdays within the 174-day duration and divide the total contract value ($5,696,940) by that number. For instance, assuming 20 workdays per month over 5 months (100 workdays), the per-diem rate would be approximately $56,969. This is exceptionally high and suggests either a very small number of highly specialized personnel or a misunderstanding of the duration/workload. If the duration is indeed 174 calendar days, and assuming roughly 22 working days per month, this equates to approximately 8 months of work, yielding a per-diem closer to $32,741. Even this figure is likely above average market rates for standard legal services, indicating potentially highly specialized or emergency legal support is being procured. A true benchmark would require comparing against rates for similar expertise, security clearances, and geographic locations.
What are the potential risks associated with the 'TIME AND MATERIALS' contract type for this procurement?
The 'TIME AND MATERIALS' (T&M) contract type carries inherent risks for the government, primarily related to cost control. Unlike fixed-price contracts, T&M contracts do not set a ceiling on the total cost, which is determined by the actual labor hours expended and the cost of materials used. This can lead to cost overruns if the scope of work expands, if the contractor's efficiency is low, or if billing practices are not rigorously monitored. For this $5.7 million contract, the risk is that the final cost could significantly exceed the initial estimate if not managed proactively. Effective oversight, detailed timesheet verification, and clear task definitions are essential to mitigate these risks and ensure value for taxpayer money.
What is the track record of LIPKA.COM, INC. in performing similar federal contracts?
The provided data does not include information on LIPKA.COM, INC.'s past performance or track record with federal contracts. To assess their reliability and capability for this $5.7 million legal services contract, a review of their contract history, past performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS), and any prior awards or terminations would be necessary. Without this information, it is difficult to gauge their experience in delivering similar services to government agencies and their history of meeting cost, schedule, and performance requirements.
How does the contract duration of 174 days impact the overall value proposition?
A contract duration of 174 days (approximately 5.8 months) for a $5.7 million award suggests a very high intensity of service or a need for highly specialized, perhaps emergency, legal support. If the services are indeed intensive, the short duration might be appropriate for a specific project or critical need. However, if the services are more routine, such a short period for such a large sum could indicate a premium price for rapid deployment or specialized expertise. The value proposition hinges on whether the urgency and specificity of the legal need justify this concentrated expenditure over a limited timeframe. A longer duration with similar total cost might imply a lower effective hourly rate.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Legal Services › All Other Legal Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES
Competition & Pricing
Extent Competed: COMPETED UNDER SAP
Solicitation Procedures: SIMPLIFIED ACQUISITION
Offers Received: 1
Pricing Type: TIME AND MATERIALS (Y)
Evaluated Preference: NONE
Contractor Details
Address: 1618 KERLEREC ST, NEW ORLEANS, LA, 70116
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business
Financial Breakdown
Contract Ceiling: $5,697
Exercised Options: $5,697
Current Obligation: $5,697
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Timeline
Start Date: 2026-04-09
Current End Date: 2026-09-30
Potential End Date: 2026-09-30 00:00:00
Last Modified: 2026-04-09
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