This update covers recent developments in FCA jurisprudence, summarizes significant enforcement activity, and analyzes the most notable legislative, policy, and caselaw developments from the second half of calendar year 2025, picking up where our mid-year 2025 update left off.
2025 was a watershed year in the history of the False Claims Act (FCA). In the first half of the year, we witnessed unprecedented efforts by the U.S. Department of Justice (DOJ) to use the statute to advance policy priorities of the Trump Administration. Virtually overnight, companies and institutions unaccustomed to FCA exposure began to face significant enforcement risks borne of the Administration’s focus on trade and antidiscrimination issues. The second half of the year saw DOJ continue to deploy the FCA as a tool for shaping an even wider range of policies. Meanwhile, 2025 also featured record-breaking enforcement metrics from DOJ, unprecedented shifts in federal and state policies with FCA implications, and a steady diet of significant judicial decisions. Never before have so many seismic shifts in the FCA enforcement landscape occurred with such magnitude and in such rapid succession.
DOJ set new records in FY 2025, both for the total number of new cases and the total amount recovered under the FCA—representing significant increases over prior records that were already enormous in their own right when they occurred. The uptick in new cases, in particular, is likely due to a confluence of...
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