A Penalty For Sounding False FCA Alarm

Law360, New York (April 2, 2012, 12:49 PM EDT) -- A recent district court decision strengthens defendants' ability to collect attorneys' fees from meritless False Claims Act whistleblower suits. On March 26, 2012, the United States District Court for the Southern District of Indiana ordered a whistleblower's counsel to pay a portion of the prevailing defendant's attorneys' fees. After dismissing the suit on subject matter jurisdiction grounds and determining the claims were frivolous, the court in United States ex rel. Leveski v. ITT Educational Services Inc. ordered the whistleblower's counsel to pay almost $395,000 of defendant...
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