Whistleblowers Get New Ammo On FCA Extrapolation

Law360, New York (April 30, 2015, 6:09 PM EDT) -- A Florida federal judge has endorsed a whistleblower's use of extrapolation in False Claims Act litigation against nursing homes to prove potentially vast liability based on a small billing sample, the latest setback for defense counsel seeking to curtail the tactic.

U.S. District Judge Steven D. Merryday found Tuesday that there's no reason to reject extrapolation outright, even if the methods behind sampling remain vulnerable to attack later in litigation by the five nursing home companies. In reaching his decision, Judge Merryday pointed favorably to a 2014 opinion in Tennessee federal court, where a judge issued one of the first rulings...

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