On Friday June 16, 2023, the Supreme Court of the United States in an 8-1 decision affirmed the Third Circuits decision in Polansky v. Executive Health Resources, Inc.[1] and resolved a circuit split in a long-awaited decision.
The Supreme Court resolved two questions: (1) whether the government has authority to dismiss a False Claims Act (FCA) suit over a relator’s objection after initially declining to intervene in the action, and if so, (2) what standard applies to review the decision to dismiss.
The Supreme Court decided that the Government maintains its right to dismiss an FCA action over a relators’ objection after initially having declined to intervene, but it must intervene before seeking dismissal. The FCA provides that the Government may intervene in an action later “upon a showing of good cause,” which is a low burden, and after intervening the Government becomes a party to the action with the right to seek dismissal.[2]
The Supreme Court also decided that the Government’s motion to dismiss should be determined by applying Federal Rule of Civil Procedure 41(a) that governs voluntary dismissals but explained that the application of the rule in an FCA case will differ from the norm in two ways. First, the FCA requires notice and a hearing before dismissal, so a district court must apply Rule 41(a) within that procedural framework. Second, Rule 41(a)(2) provides that after an answer is filed an action may only be dismissed by court order “on terms that the court...
WASHINGTON, April 23 (Reuters) – President Donald Trump’s years-long campaign to undermine faith in U.S. elections has gained broad traction with the American public, a Reuters/Ipsos poll shows, p...