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Expert Analysis

How Litigation Finance Funds Whistleblower Actions

Law360, New York (January 5, 2016, 12:07 PM EST) -- In the fight against fraud by the U.S. Department of Justice, the participation of alternative litigation finance (ALF) companies has emerged as a potent weapon. Recent verdicts in whistleblower cases with respect to the qui tam provisions under the False Claims Act have amplified the ability of private individuals with knowledge of fraud against the government to sue on the government's behalf, sharing in the financial recovery. To an extent, the FCA privatizes the enforcement of law, creating an opportunity for the increasing involvement of ALF in qui tam actions....

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