Legal Challenge to Protections and Opportunities for Historically Disadvantaged Entrepreneurs and Small Business Owners Is Dismissed

New Orleans – Plaintiffs have voluntarily dismissed their claims via stipulation in Revier Technologies, Inc. v. SBA, abandoning a case that sought to dismantle a longstanding federal 8(a) Business Development Program that provided key protections and opportunities for historically disadvantaged entrepreneurs and small business owners. Prior to dismissal, two small businesses successfully intervened in federal court to defend the program after the Trump-Vance administration signaled it would refuse to defend the program in a legal challenge.

The intervenors – Sage Services Group LLC (Sage) and Gov Contract Pros, LLC (GCP) – argued that the lawsuit threatened Small Business Administration (SBA) programs that help small businesses access federal contracting opportunities, business development resources, and technical assistance that have historically been out of reach for many entrepreneurs. By dismissing the case, plaintiffs – Revier Technologies Inc. and Young America’s Foundation – have dropped their request for far-reaching relief that would go far beyond the specific programs at issue and could undermine decades of federal efforts to expand access to economic opportunities. Dismissal might not have happened without the intervenors’ persistent efforts to protect the  SBA’s 8(a) program, and others like it. Democracy Forward, Minority Business Enterprise Legal Defense and Education Fund, Inc. (MBELDEF), and Most & Associates represent the intervenors.

“This is a win for small businesses and our Judicial system, “ said Sonya Y Hopson, CEO of Sage. “We are thankful that we were able to voice our concerns and be heard.” 

“This dismissal is a significant win for small businesses in the federal marketplace,” said Trevor Skelly of GCP. “GCP is proud to have supported this effort with Sage Services Group, and we will continue to advocate on behalf of those small businesses wherever and whenever possible.” 

Congress created the 8(a) Business Development program to support small businesses owned by socially and economically disadvantaged individuals and to help ensure fair access to federal contracting opportunities. The 8(a) program previously included a rebuttable presumption that certain minority groups were socially disadvantaged for purposes of program eligibility, which the plaintiffs in Revier challenged in their attempt to subvert the program and others like it. A new SBA rule replaced that presumption. This dismissal means that 8(a) program’s wide range of business development tools, including mentorship opportunities, technical assistance, and federal contracting support that many small businesses rely on to grow and compete, will remain intact.

“We are honored to work with the small businesses that successfully intervened and defended crucial support for the small businesses that cultivate historically underserved communities,” said Steven Bressler, Senior Legal Advisor at Democracy Forward. “The Trump-Vance administration made clear they would not defend mom and pop shops and the businesses that help make neighborhoods great places to live and work.”

“MBELDEF is honored to stand with these small and minority businesses who have the courage to stand for justice.  They represent millions of other businesses across the nation who are the lifeblood of our economy,” said Sarah von der Lippe, Pro Bono Chief Counsel of MBELDEF. “We will continue to monitor the actions of this administration to ensure that they operate the 8(a) program, and all small business programs, in a manner that is fair, constitutional and consistent with the intent of Congress.”

“We are so proud to represent businesses like these that have the courage to stand up for what is right,” said William Most, lead attorney at Most & Associates.

The legal team at Democracy Forward includes Cortney Robinson Henderson, Emily Newton, Steven Bressler, and Robin Thurston.  The legal team for MBELDEF includes Sarah von der Lippe.  The legal team at Most and Associates includes lead attorney, William Most.

Read the stipulation here and the order dismissing the case here.