FCA Alert

FCA Alert

Monthly Archives: December 2010

Fourth Circuit Affirms Dismissal of FCA Retaliation Claim Brought Against Firearms Contractor

Posted in Retaliatory Discharge
On December 27, 2010, the United States Court of Appeals for the Fourth Circuit affirmed the dismissal of an employee’s retaliation claim against a firearms contractor, Heckler & Koch Defense, Inc. (“HKD”), brought under the anti-retaliation provision (§ 3730(h)) of the federal False Claims Act.  Mann v. Heckler & Koch, Defense, Inc., No. 09-1847, 2010… Continue Reading

D. Mass Grants Rule 9(b) Motion to Dismiss in Medical Device Case

Posted in Rule 9(b) Decisions
Last week we reported on the denial of Orthofix’s motion to dismiss the complaint of the relator, Jeffrey Bierman, on Rule 9(b) grounds in United States ex rel. Bierman v. Orthofix International, N.V. et al., Civil Action Nos. 05-10557-EFH, 08-11336-JLT, 2010 WL 4973635 (D. Mass.).  Bierman’s action is consolidated with another action against Orthofix brought… Continue Reading

D. Mass. Denies Rule 9(b) Motion To Dismiss In Medical Device Case

Posted in Rule 9(b) Decisions
Yesterday, we discussed the district court’s basis for denying the Rule 12(b)(6) motions to dismiss made by several medical device manufacturers in the Orthofix case pending in the District of Massachusetts.  Today, we examine the second part of the court’s opinion which addressed defendants’ motion to dismiss for failure to plead fraud with particularity under… Continue Reading

D. Mass Denies Motion to Dismiss False Claims Act Claims Based On Express Certification Theory In Medical Device Case

Posted in Decisions Interpreting FCA Elements
On December 8, 2010, in United States ex rel. Bierman v. Orthofix International, N.V. et al., Civil Action Nos. 05-10557-EFH, 08-11336-JLT, 2010 WL 4973635 (D. Mass.), a District of Massachusetts court denied several medical device manufacturers’ motions to dismiss pursuant to Fed. R. Civ. P. 12(b)(6) and 9(b) for reimbursement-related false claims under the False… Continue Reading

D.C. Circuit Endorses Implied Certification Theory of Liability and Clarifies Scienter and Damages Standards Under the False Claims Act

Posted in Decisions Interpreting FCA Elements
 In a December 3, 2010 decision in United States v. Science Applications International Corporation, Case No. 04-CV-01543 (D.C. Circuit Dec. 3, 2010), the D.C. Circuit affirmed a trial court’s holding that the implied certification theory of liability does not require the offending false certification to relate to an express condition for payment, holding that a violation… Continue Reading

Update: AHA’s Continued Efforts To Persuade The DOJ To Reconsider The Hospital Kyphoplasty Initiative

Posted in Articles
Several months ago, we reported that the American Hospital Association (“AHA”) sent a letter to U.S. Attorney General Eric Holder and Kathleen Sebelius, Secretary of Health and Human Services, requesting a review of the so-called kyphoplasty initiative being pursued by the Office of the United States Attorney for the Western District of New York. Earlier… Continue Reading

573 New Federal Qui Tam Cases Filed in 2010

Posted in Articles, Settlements
According to statistics published by the Department of Justice (the “DOJ report”), 573 federal whistleblower complaints were filed under seal in 2010. The DOJ report also shows that 1,246 sealed qui tam complaints remain under investigation pending the government’s decision on intervention.  Of the 5,954 qui tam cases that have been unsealed between 1987 and… Continue Reading

Sixth Circuit Affirms Liability Against Defense Contractor For False Statements Made in 1983

Posted in Decisions Interpreting FCA Elements
On November 18, 2010, the Sixth Circuit Court of Appeals affirmed a trial court’s post-trial judgment finding of liability under the FCA against United Technologies, but reversed the portion of the judgment finding no damages as to United Technologies. United States v. United Technologies Corp., No. 08-4256 (6th Cir., Nov. 18, 2010).… Continue Reading

Indiana False Claims Act Suit Filed Against 78 State Prosecutors

Posted in Articles
On November 19, 2010, a qui tam complaint was unsealed against 78 Indiana prosecutors alleging violations of the Indiana False Claims Act. The complaint alleges that the prosecutors violated the Indiana FCA by failing to pay into the Indiana common school fund the net proceeds of criminal forfeiture actions.… Continue Reading