Category Archives: Qui Tam/Whistleblower
Understanding the False Claims Act Public Disclosure Bar: What “Substantially the Same” Means for Whistleblower Cases
The False Claims Act (“FCA”) empowers whistleblowers—known as relators—to bring lawsuits on behalf of the Government when they discover fraud involving federal funds. But not every whistleblower case can move forward. One of the most litigated obstacles is the FCA’s public disclosure bar, which requires dismissal if the allegations in a qui tam complaint… Read More »
Eleventh Circuit Rules False Claims Act Qui Tam Claims Barred by Prior Whistleblower Retaliation Claims Under Res Judicata
A recent decision by the Eleventh Circuit Court of Appeals affirmed the district court’s dismissal of a False Claims Act (FCA) qui tam action as barred under the doctrine of res judicata due to the whistleblower’s previously filed and dismissed retaliation case. The court’s opinion highlights the importance of bringing both FCA qui tam… Read More »
Whistleblower Qui Tam Case Involving Medication Therapy Management Services and Manufacturer Drug Coupons Settles Against Pharmacy for $2.9 Million
Rabin Kammerer Johnson (“RKJ”) and Searcy Denney Scarola Barnhart & Shipley (“Searcy Denney”) announce that they have settled a whistleblower qui tam case brought against a pharmacy for $2.9 million. The case involved allegations that the pharmacy was performing medication therapy management services and accepting drug manufacturer coupons to cover or discount copayments in… Read More »
Whistleblower Client Defeats National Pharmacy Chain’s Motion to Dismiss Medicare Fraud Claims Alleging Medication Therapy Management Consultations Were “Worthless Services”
Representing their whistleblower client (“Relator”) in a qui tam case in which the federal government declined to intervene, RKJ attorneys Adam Rabin, and Havan Clark, together with co-counsel Rosalyn Sia Baker-Barnes, prevailed in defeating a national pharmacy chain’s motion to dismiss the Second Amended Complaint (“Complaint”), as detailed in U.S. District Judge Beth Bloom’s… Read More »
Florida Contractors and Owner Agree to Pay $7.7M to Resolve False Claims Act Allegations
On June 29, 2023, the United States Department of Justice (“DOJ”) announced it reached an agreement with “HX5 LLC and its owner and Chief Executive Officer, Margarita Howard, located in Fort Walton Beach, Florida, and an affiliated joint venture HX5 Sierra LLC, located in Cleveland, Ohio” (collectively, “HX5 Parties”) whereby the HX5 Parties would… Read More »
GCI Communications Corp. and U.S. Department of Justice Settle False Claims Act Case for $40M
On May 11, 2023, the United States Department of Justice (“DOJ”) announced it reached a settlement with GCI Communications Corp. (“GCI”) whereby GCI agreed to pay $40,242,546 to resolve allegations that it violated the False Claims Act (“Act”).[1] Under the Act, a private individual who has knowledge of past or present fraud on the… Read More »
History of the Public Disclosure Bar in the Eleventh Circuit and Determining a Proper Burden-Shifting Framework
In 1986, Congress amended the False Claims Act (the “Act”) by adding the public disclosure bar.[1] Congress enacted this bar with the goal of balancing the prevention of parasitic actions based on publicly available information and the encouragement of individuals bringing qui tam actions.[2] The original version of the public disclosure stated: (A) No… Read More »
If I Blow the Whistle on My Employer, Can My Employer Sue Me For Breach of My Nondisclosure Agreement?
When weighing whether to blow the whistle on an employer engaging in fraud upon the Government, an employee or former employee (“Employee”) must consider if doing so would violate the Employee’s nondisclosure agreement. In particular, the Employee must weigh whether providing company documents to the Government will expose the Employee to liability. The short… Read More »
Can a Whistleblower in an Existing Qui Tam Case Add A Co-Whistleblower to the Action?
In the life cycle of a qui tam case, it is common for a whistleblower (also referred to as a “relator”) to learn that another whistleblower has brought a qui tam action against the same defendant for the same or a substantially similar fraudulent scheme. For the second-filed (or third-filed, and so on) case,… Read More »
HEALTHCARE WITH A SIDE OF HAIRCARE: IMPROPER INCENTIVES TO MEDICARE PATIENTS
Offering free gifts with purchase is not a new marketing concept. Many businesses use it as an effective tool for customer retention and soliciting new customers. When the customers are paying with government funds, however, free gifts can be a big no-no. Especially when the free gifts offered to Medicare beneficiaries have no relation… Read More »