A landmark US Supreme Court ruling on the scope of the False Claims Act prompted a decade of squabbling over a legal standard that defendants have used to undercut whistleblower suits, with no end in sight.
Both whistleblowers and government contractors are dissatisfied with how courts are treating the high court’s decision, which said lawsuits alleging fraud in federal programs could fail if the government made payments to a contractor despite knowledge of noncompliance.
Government contractors have used the June 2016 opinion in Universal Health Servs., Inc. v. United States ex rel. Escobar as a tool to stop whistleblower suits ...
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