Corel sues Labor Department

Corel Corp. has sued the Labor Department, claiming that the agency violated the Federal Acquisition Regulation by awarding a three-year, $8 million contract for office software to another company without conducting a full competition.

According to the company, the Labor Department violated federal procurement policy when it awarded the contract without notifying Corel or other office suite vendors that the opportunity was available.

Corel filed the suit Monday in Washington, D.C., district court after the General Accounting Office said it did not have jurisdiction. A Corel spokeswoman said the company felt it would have had a fair chance at the contract since more than 50 percent of the desktops within the department are licensed for Corel's WordPerfect office suite.