False Claims Act (`Qui Tam`) Print E-mail

 

“There is no kind of dishonesty into which otherwise good people more easily and frequently fall than of defrauding the government.”  Benjamin Franklin

An Introduction to the Federal False Claims Act

What does "qui tam" mean?
The term "qui tam" stands for a longer Latin phrase [qui tam pro domino rege quam pro se ipso in hac parte sequitur] that is translated as "he who brings an action for the king as well as for himself." Qui tam is the technical legal term for the unique mechanism in the federal False Claims Act that allows persons and entities with evidence of fraud against federal programs or contracts to sue the wrongdoer on behalf of the Government.

A qui tam action is one brought under the False Claims Act by a private plaintiff on behalf of the Federal Government (rather than by the Government itself). These actions are sometimes referred to as "whistleblower lawsuits." With qui tam, the Government has the right to intervene and join the action. Or the Government may decline intervention, in which case the private plaintiff may proceed on his own.

What is a "Relator"?
A Relator is a whistleblower that files a suit under the False Claims Act is known as a relator, instead of a plaintiff. Technically, the United States (or the state in a state FCA case) is the plaintiff

Does the False Claims Act cover tax fraud?
The False Claims Act explicitly excludes tax fraud. Section 3729(e) states that the Act "does not apply to claims, records, or statements made under the Internal Revenue Code." If you wish to report tax fraud, please call the IRS Fraud Hotline at 1-800-829-0433.

Where can the False Claims Act be found?
The False Claims Act can be found in the United States Code, Title 31, Sections 3729 through 3733 (31 U.S.C. §§ 3729-3733)

How old is the False Claims Act?
The False Claims Act, also known as the "Lincoln Law," dates back to the Civil War. Plagued by war profiteers selling the Union Army shoddy supplies at inflated prices, President Lincoln signed the False Claims Act into law in 1863. The original law included qui tam provisions that allowed private persons to sue those who defrauded the Government and receive 50 percent of any recovery from the defendant.

What type of Qui Tam cases has your firm handled?
Our firm has handled and successfully resolved Qui Tam cases against healthcare and military contractors. We have litigated cases against some of the largest corporations in America including General Electric, Boeing, DynCorp, General Dynamics Electric Boat, Northrop Grumman Newport News and Lockheed Martin Corporation.

View our False Claims Act Practice Page >>

 

 

Taxpayers Against Fraud (www.taf.org) and the Taxpayers Against Fraud Education Fund (TAFEF) are organizations dedicated to assisting whistleblowers and their attorneys, to protecting the False Claims Act against attack by big business and to educating the American people about the benefits of the False Claims Act's qui tam provisions. Their work is necessary because the False Claims Act works so well that unscrupulous special interests are always plotting new ways to weaken the law. Since the 1986 amendments to the False Claims Act were passed, numerous attempts have been made to weaken and undermine the law or obtain an outright exemption from it.