False Claims Act/Qui Tam

This blog is about qui tam, a  lawsuit brought under the False Claims Act by a private plaintiff on behalf of the Federal or State Government (rather than by the Government itself). The False Claims Act was originally enacted by Congress in 1863, as a response to widespread abuses by government contractors against the Union Army during the Civil War. The qui tam provisions are now used widely and this blog is intended to keep readers up to date with all qui tam related news and to provide commentary when warranted.  This blog also contains an array of laws and regulations concerning qui tam set out in an easy to read format.

DOJ May Join False Claims Act Lawsuit to Collect $30 Million Relator Share

by Nolan and Auerbach on April 30, 2007

The Department of Justice may end up joining a False Claims Act case to collect the $30 Million recovery won by the relator but then subsequently overturned by Judge Phillip Figa citing that fact that if a relator is dismissed from a case, the court still has subject matter jurisdiction if it intervenes. After the verdict was returned by the jury in the Kerr-McGee case finding that the company cheated the federal government, the judge ruled that the whistleblower did not qualify to bring the case under the False Claims Act because the wrongdoing had already been disclosed to the government.  Up until that point, the Department of Justice did not intervene in the case.

On April 11, 2007, however, the Department of Justice  indicated that they are interested in the $30 million the jury said was defrauded by Kerr-McGee and has requested the judge to grant them time to decide whether to intervene.

To read more on this article click here and to read more on False Claims Act click on Nolan & Auerbach.

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