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Wednesday, April 22, 2026

Municipal – False Claims Act – Speed limit signs - Massachusetts Lawyers Weekly

Where a relator has brought a qui tam action alleging that the defendant town violated the federal False Claims Act and the Massachusetts False Claims Act by posting speed limit signs ultra vires, submitting claims for payment falsely representing compliance with all applicable laws and regulations, and fraudulently inducing the United States and the commonwealth to pay millions of dollars for highway and transportation projects, the complaint must be dismissed because the relator’s claims are inadequate under both the FCA and the MFCA.

“In this case, Relator alleges that defendants certified (or caused to be certified) their compliance with all applicable laws and regulations in connection with certain contracts and reimbursement forms despite their failure to comply with regulations pertaining to the establishment and maintenance of speed limit signs in the Town of Hingham. He asserts that compliance, or lack thereof, with regulations is ‘the textbook example’ of a material misrepresentation. …

“According to Relator, there is an actionable misrepresentation in this case because: 1) defendants did not comply with certain regulations, 2) they nevertheless submitted broad certifications which attested to their compliance with all applicable regulations and 3) those certifications were a prerequisite to the payment of funds. …

“In evaluating the materiality of defendants’ alleged misrepresentations in the case at bar, therefore, the Court rejects Relator’s expansive and...



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