On October 15, Pennsylvania’s legislature sent House Bill 201 to Governor Tom Corbett for signature.  The legislation would prohibit a government employee from evaluating bids for state contracts submitted by his or her former employer for two years.

This legislation is interesting for a few reasons.  First, it is a twist on what are commonly known as “revolving door” restrictions.  Typically, revolving door restrictions limit the activities of former governmental officials.  For example, former government officials often may not advocate on behalf of their new employer in front of their former agencies or regarding matters in which they participated as a government official.  Many jurisdictions also impose restrictions based on financial interests.

Pennsylvania’s legislation is different in that it applies to new government employees who left the private sector, because it focuses specifically on state contracts, and because it is a straightforward ban on participation in evaluating proposals regardless of financial interest.

The restriction would also be harsher and would last twice as long as similar restrictions at the federal level that may require the recusal of a government employee from a matter involving a company at which the employee worked within the prior year.

Employers should keep an eye out for “reverse revolving door” rules of this kind, which are likely to sprout up in other states and localities.  When a company official leaves for public service, the company often seeks to determine whether the former employee’s new government position will impact operations.  Sometimes, compensation packages can be reconfigured or declined in order to avoid conflicts of interest down the road (for example, the federal executive branch has complex restrictions regarding government employees who have continuing financial interests in their former employers).  Pennsylvania’s law would effectively make that impossible.  The mere fact that an employee-employer relationship used to exist would be enough to mandate recusal.

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Insurance Advocacy for Policyholders

Kevin Glandon has helped policyholders recover over $1 billion for first party losses and third-party liabilities. Kevin has extensive experience with complex, multimillion-dollar property damage and business interruption claims arising out of catastrophic events, including damage to or destruction…

Insurance Advocacy for Policyholders

Kevin Glandon has helped policyholders recover over $1 billion for first party losses and third-party liabilities. Kevin has extensive experience with complex, multimillion-dollar property damage and business interruption claims arising out of catastrophic events, including damage to or destruction of commercial real estate, hotels, and manufacturing plants caused by hurricanes, floods, and fires–prominent risks potentially impacted by climate change. Kevin also has significant experience litigating and advising on coverage for environmental and products liability claims.

Kevin also assists clients with insurance recovery under cyber, fidelity and crime insurance, builder’s risk, and product recall policies, and has advised on impacts due to communicable disease and insurance-related due diligence in connection with major acquisitions. He advises clients regarding efficient and practical insurance strategies to prepare for and respond to first-party losses and third-party claims, and has worked extensively with forensic accountants, insurance brokers, and subject matter experts to achieve an effective, multidisciplinary approach to claim resolution. Kevin’s insurance-related experience spans the fields of commercial real estate, hospitality, manufacturing, government contracting, energy production, and professional sports.

Political Law

He also has experience advising clients in compliance and defense matters regarding political and election law, including the Foreign Agents Registration Act, the Securities and Exchange Commission’s pay-to-play rules, the Federal Election Campaign Act, Senate and House ethics rules, and numerous state and local political and election laws and regulations.