A qui tam lawsuit is a lawsuit brought by a whistleblower to enforce the federal False Claims Act or analogous state statutes, laws that impose civil liability on persons or companies who knowingly make or cause others to make false claims for the payment of government funds.
Is the federal government required to join a qui tam lawsuit?
No. You do not give up your right to bring a qui tam action by going to the government before filing your lawsuit. But if the government has already filed an FCA lawsuit based upon those allegations or transactions, you are barred from bringing a qui tam suit. This is known as the “first to file” rule.
Who has the primary responsibility for prosecuting a qui tam action if the government intervenes?
the Department of Justice
If the Department of Justice intervenes in a qui tam action, it has the primary responsibility for prosecuting the action and may settle the claims.
What does qui tam action mean in law?
Definition. In a qui tam action, a private party called a relator brings an action on the government’s behalf. The government, not the relator, is considered the real plaintiff. For example, the federal False Claims Act authorizes qui tam actions against parties who have defrauded the federal government.
What percentage do whistleblowers get?
The whistleblower (known as the “relator” in qui tam cases) may receive a reward of 15 percent to 25 percent of what the government recovers, if the government joins the qui tam case.
What are the three major categories of False Claim Act cases?
Liability under the federal False Claims Act occurs where a defendant (1) knowingly presents (or causes to be presented) a false or fraudulent claim for payment; (2) knowingly makes, uses, or causes to be made or used, a false record or statement material to a false or fraudulent claim; (3) conspires with others to …
