Over the last decade, there has been a steady increase in whistleblower, or qui tam, investigations. Qui tam provisions allow private individuals, or whistleblowers, with knowledge of fraud committed against the U.S. government to file suit on its behalf. Under the 1986 amendments to the False Claims Act (FCA), the rewards for plaintiffs in qui tam cases rose to between 15% and 30% of the funds recovered from the defendant, and within the last 20 years, the government has collected over $20 billion in FCA damages.
Our lawyers, who include former Assistant United States Attorneys and Department of Justice (DOJ) attorneys, have significant experience investigating and defending FCA and qui tam actions throughout the United States, often in industrywide investigations. We have a national presence, spanning the East and West Coasts, as well as in between, enabling us to meet any need, no matter where a situation may arise.
Our clients include companies, boards of directors, officers and directors, and individuals in parallel prosecutions involving simultaneous criminal, civil and administrative investigations. We are equipped to respond to all of the ancillary aspects of a government investigation, including shareholder suits, suspension and debarment proceedings, and administrative monetary penalty proceedings. Our background spans industries including, but not limited to, energy, defense, financial services, healthcare, and technology.
We have represented multiple major healthcare corporations, including hospitals, pharmaceutical and medical device manufacturers, ambulance companies, home health agencies, and dental clinics in FCA cases throughout the country in both district courts and courts of appeals, and in both qui tam and government investigations. Our representation of healthcare clients includes the negotiation of Civil Monetary Penalties and Corporate Integrity Agreements with HHS/IG. We have also represented clients in suspension and debarment proceedings conducted by the Department of Defense, General Services Administration, and the Environmental Protection Agency.
Recent representations include:
- In US ex rel. Hess v. Sanofi-Synthelabo, we served as lead counsel for Sanofi-Synthelabo in a qui tam action alleging that the company engaged in illegal off-label promotion; the court granted Sanofi's motion to dismiss, holding that the FCA cannot be violated absent proof that the defendant engaged in untruthful or misleading conduct.
- Successfully persuaded State AG to decline to pursue a qui tam investigation in the pharmaceutical pricing area.
- Successfully negotiated a global qui tam settlement in the pharmaceutical industry with the DOJ, the District of Columbia, and all 49 states that participate in the Medicaid prescription drug program and the Office of Inspector General.
- Successfully negotiated a qui tam settlement with the officials of the National Ocean and Atmospheric Association (NOAA), DOJ, and U.S. Attorney’s Office, which avoided litigation and resulted in a modest payment.
- Prevailed in a motion to dismiss for a qui tam lawsuit involving a Department of Energy contractor operating a nuclear waste depository.
- Successfully persuaded the government not to intervene in a matter involving a supplier of nuclear materials to the federal government, and persuaded the qui tam relator plaintiff to voluntarily dismiss claims.
- Represented multiple aerospace companies in qui tam actions, including the representation of employees in a criminal investigation arising out of a qui tam action alleging defective welding in military aircraft.
- Successfully represented an Iraqi contractor in a qui tam jury trial.
- Represented multiple government contractors in qui tam investigations regarding travel credit reimbursements and teaming arrangements.