The False Claims Act (also known as the "Lincoln Law") is a federal law which imposes liability on any person or company (most often federal contractors) that defrauds the government or governmental programs. A person who files a lawsuit under the False Claims Act may receive a portion (typically 15–25 percent) of any recovered damages.
The most frequently pursued claims under this law involve health care, military, or other government spending programs. Between 1987 and 2008 the government has recovered nearly $22 billion under the False Claims Act.
Examples and Who Can Make a Claim?
The False Claims Act includes a "qui tam" provision that allows people who are not affiliated with the government to file actions on behalf of the government (also known as "whistleblowing"). The False Claims Act allows people to file lawsuits on behalf of the government in order to recover the financial damages suffered by the government as a result of fraud. Most commonly whistleblowers are: ex-business partners, former or current employees, competitors or patients.
When a vendor (such as a government contractor or doctor) makes a false claim against the government for payment (such as billing for goods or services that were never delivered), the vendor can be held liable in court under the False Claims Act. If you have knowledge of this type of fraud against the government, you can file a whistleblower claim against the defrauder.
Earn A Reward For Reporting Fraud Against The Government
The False Claims Act (Lincoln Law) gives potential whistleblowers a strong incentive to report fraud against the government. The whistleblower can receive 15% to 30% of the amount recovered by the government.
The whistleblower who is filing the lawsuit on behalf of the government is known as “relator.” Relators do not have to be personally injured or affected by the fraud in order to file the lawsuit. However, the whistleblower (relator) must have knowledge that the defendants engaged in fraud against the federal government.
Whistleblower Protections
The False Claims Act offers several protections to potential whistleblowers. The relator’s identity will remain confidential, or “under seal”, while the claim is being investigated by the federal government. However, once the government investigation is complete or if the Court denies extensions of the seal, the lawsuit will become public and the relator’s name will be available to the Defendant.
The law provides the whistleblower protection from potential retaliation by the defendant. This is critically important as many whistleblowers employees are still employed by the defendant at the time of the investigation and/or lawsuit.
If you know a false claim involving government funds and resources, please contact Davis Law Group today. We will confidentially consult with you about your case without obligation. All communication with us is confidential and protected by the attorney-client privilege, even if you do not retain our services.