Remington Arms Co. has just won a major court victory against the United States Government, regarding a 212 million dollar contract given to FN and Colt for the procurement of M4 Carbines.

Back in September, Colt Defense, LLC, and Fabrique Nationale America were the lowest bidders on a solicitation for a 212 million dollar contract on 292,000 M4 Carbines for the US Army. Remington also bid, but it was not accepted.

Remington’s lawsuit focuses on the fact the Colt Defense, LLC was issued a contract despite being in bankruptcy proceedings at the time. The gunmaker’s representation argued that the government had not accounted for Colt’s most recent financial records, and that the decision to award a contract should be reviewed in light of these records. The court’s decision came down in favor of Remington, and Firestone’s opinion reinforces the need for additional financial records. Beyond that, the court also prevented the government from placing more orders with Colt Defense, LLC.

Beyond the suspension of orders for Colt being obviously very bad for that company, there is also the question of what will happen now. There is no guarantee that Colt’s contract will be reassigned, and if it is, the government is only obligated to give Remington a minimum order, and it seems likely that if Colt’s contract is reassigned, the rest of Colt’s order would simply be given to lower bidder FN, not Remington.

Thanks to Daniel for the tip.