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2026 NDAA Creates New Strategic Opportunities Regarding Nontraditional Defense Contractor Status

By Phillip Seckman and Mikaela Colvin
March 26, 2026
  • General
  • Government Contracts
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The current administration has been clear in its attempt to scale back on onerous compliance requirements, as part of an ongoing overhaul of federal acquisition policy. The 2026 National Defense Authorization Act (NDAA),1 signed in to law in December 2025, materially reduces certain compliance burdens for nontraditional defense contractors (NDCs).2  More importantly, it offers a clearer path for pathway for traditional defense contractors to capture those same advantages through affiliates, subsidiaries, or discrete business units that may independently qualify as NDCs.

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Defense, government contracts
Phillip Seckman

About Phillip Seckman

Phillip Seckman represents clients concerning government and commercial contract matters. His practice spans a broad range of subjects related to federal procurement law, state and local procurement law, and complex federal regulatory issues. He concentrates his practice in the areas of commercial item acquisitions, GSA schedule contracting, cybersecurity, compliance, internal investigations, and bid protests (both federal and state). A significant component of his practice involves government contract cost allowability, proper cost accounting, and contract cost and pricing issues.

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Mikaela Colvin

About Mikaela Colvin

Mikaela Colvin is an associate in Dentons’ Government Contracts practice and focuses on all aspects of government contracts counseling and litigation.

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