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OHA Doesn’t Trust Unfinished Trusts

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SBA denied an application for certification as an SDVOSB, finding the company was owned by a trust and not controlled by a service-disabled veteran. The company appealed, arguing it was amending the trust agreement. OHA dismissed. The company was not controlled by a veteran when it applied for certification and could not introduce the amended trust as new evidence on appeal.

VSBC Appeal of SSC Construction Management, LLC, SBA No. VSBC-378-A
  • No Alleged Errors - As an initial matter, OHA noted the appeal was deficient on its. The appellant had not identified any errors in the application review process committed as required by SBA regulations.
  • No Ownership - Additionally, OHA found the company was not directly owned and controlled by a veteran when it applied for certification and thus was ineligible for SDVOSB status.
  • New Evidence - the company contended it was in the process of amending the trust to make to ensure it was controlled by a veteran. The company submitted a copy of an Amended Revocable Trust. OHA said the company had not shown good cause for the consideration of new evidence on appeal.

--Case summary by Joshua Lim, Assistant Editor

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