Army Corps Contractor's Pricing Didn't Violate FCA: Judge

Law360, New York (August 26, 2013, 10:56 PM EDT) -- A Florida federal judge ruled Friday that U.S. Army Corp of Engineers contractors didn't violate the False Claims Act by lowering their labor costs in order to pocket extra profits on a fixed-priced contract to support a Everglades restoration project.

Relator Kermit Prime Jr., a former division manager at Post Buckley Schuh & Jernigan Inc., filed a qui tam suit in December 2010, accusing PBS&J and Parsons Corp., who had partnered on the Everglades contract, of violating the False Claims Act by using significantly cheaper labor than what...
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