The Associated Builders and Contractors, on October 11, the in conjunction with its Southern Texas chapter filed a lawsuit against the U.S. Department of Labor's Fair Pay and Safe Workplace final rule. The lawsuit was filed in the U.S. District Court of Eastern District of Texas.

ABC contends that the rule, commonly referred to as the “blacklist” rule, would violate contractor’s First Amendment rights and restrict open competition for federal contractors because it would force companies to reveal allegations of un-adjudicated labor and employment law violations. ABC’s Vice President of Regulatory, Labor, and State Affairs, Ben Bruebeck, in a post to ABC's website said:

The rule creates additional costs and regulatory burdens that will discourage qualified firms, particularly small businesses, from pursuing federal contracts, and will drive up costs to taxpayers. In addition, it will cause litigation and delays that will disrupt the federal procurement process for critical goods and services purchased by the government.

They take issue in particular with the Obama Administration/ ABC says the administration has:

exceeded its authority by forcing government contractors and prospective government contractors to publicly disclose mere accusations that they have violated labor and employment law.

An ABC survey conducted last month found that 50% of respondents said the new rule’s requirement would keep them from pursuing federal work, and 91% said it would impose “extreme” burdens in order to comply with the final rule.

ABC has consistently been opposed to the rule since the White House issued the executive order on this measure in July 2014. It has supported legislative efforts to thwart the rule, submitted comments to DOL, voiced concerns to the Office of Management and Budget, and spoken against the rule on several occasions.

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