Anthropic PBC v. United States Department of War
Issue
Whether the Department of War's designation of Anthropic PBC as a supply chain risk and resulting covered procurement action under 41 U.S.C. § 4713 of the Federal Acquisition Supply Chain Security Act of 2018 is unlawful as arbitrary, capricious, contrary to constitutional right, or otherwise not in accordance with law.
What Happened
Anthropic PBC filed a petition for judicial review in the D.C. Circuit pursuant to 41 U.S.C. § 1327(b), challenging covered procurement actions taken by Department of War Secretary Peter B. Hegseth under 41 U.S.C. § 4713. The addendum filed on March 11, 2026 includes the statutory provisions relied upon, multiple supporting declarations from Anthropic personnel and counsel, and exhibits consisting of the Department of War's § 4713 notice to Anthropic, internal Pentagon memoranda, public statements by Secretary Hegseth and President Trump, and media reports concerning the Pentagon's threatened and actual actions against Anthropic. The court is asked to review the covered procurement action under the standards set forth in § 1327(b)(2), which permits the court to hold such actions unlawful if found arbitrary, capricious, contrary to constitutional right, in excess of statutory authority, lacking substantial support in the administrative record, or not in accord with required procedures.
Why It Matters
This petition presents a rare test of the judicial review mechanism established by FASCSА for supply chain exclusion actions targeting an AI developer, potentially establishing how constitutional claims — including First Amendment challenges — may be raised against national security-justified procurement exclusions of AI companies under § 4713's otherwise heavily restricted review framework.
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