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Common questions
about the
False Claims Act ("FCA") and Qui Tam suits
- What is this area of law about?
It's about people — employees, consultants, competitors, vendors, etc.— who sue someone or some organization on behalf of the United States to stop fraud and get a reward. The lawsuit alleges that the defendant got federal money through lies (not "technical" mistakes) or improperly retained money. If the defendant loses, he has to pay a fine or penalty.
- What does Qui Tam mean?
It's an outdated phrase for a lawsuit that pays a bounty to citizens who sue on behalf of the Government. The actual phrase is qui tam pro domino rege quam pro si ipso in hac parte sequiture. This translates as who sues on behalf of the King as well as for himself.
- What is the False Claims Act (FCA)?
Passed in 1863 to combat Civil War fraud, it's a federal statute designed to monetarily punish people and organizations that defraud the U.S. Sometimes it's called the Lincoln Law. (31 U.S.C. Section 3729 et. seq.)
- What kinds of fraud does the FCA cover?
Just about anything other than tax fraud. There is a separate IRS statute for that.
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What is Government intervention and is it important?
The U.S. can join any FCA lawsuit it thinks is worthwhile. Having the U.S. intervene is the best thing that can happen for the whistleblower. More than 90 percent of qui tam recoveries occur when the U.S. intervenes.
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How much money can a whistleblower get?
Between 15 and 30 percent of the eligible recovery, plus attorney's fees and litigation costs if ordered by the court. A whistleblower may also recover damages if an employer retaliated against him or her for being a whistleblower.
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What is a good FCA case?
One with high damages, a defendant who will pay the judgment, solid proofs of intentional fraud, and no legal deficiencies that will cause the suit to be quickly dismissed.
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What should you do if you have a possible FCA case?
Make sure you want to get involved, and if you do, contact a lawyer experienced in this complex and changing area of the law.
Law Office of Timothy J. McInnis, Esq.
521 5th Avenue, Suite 1700
New York, NY 10175-0038
Telephone: 212-292-4573 Facsimile: 212-292-4574
Email: information@whistleblowerlegal.com Copyright © 2001-2009. Law Office of Timothy J. McInnis, Esq. All Rights Reserved. |
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