FCA Litigation — Score 2 For Defendants, 1 For Relators

Law360, New York (June 08, 2012, 12:46 PM ET) -- The federal False Claims Act[1] is a powerful statute. It provides a vehicle for whistleblowers to sue companies that have allegedly defrauded the government. The FCA’s remedies include mandatory penalties for each false claim submitted to the government, as well as treble damages and a recovery of attorney fees. The individual whistleblower can receive up to 25 percent of a recovery.[2] In short, it is one of the most severe (some might say draconian) statutes on the federal books.

Two recent cases have explored the outer...
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