A federal appeals court ruling strengthens a key legal mechanism used to pursue fraud against the government and recover taxpayer funds. The decision upholding the False Claims Act's qui tam provision comes as whistleblower-driven cases deliver record recoveries in fiscal year 2025.

Highlights

• The Eleventh Circuit Court of Appeals upheld the constitutionality of the False Claims Act's qui tam provision, reinforcing protections for whistleblowers filing anti-fraud lawsuits.
• Since the 1986 updates, the False Claims Act has recovered approximately $85 billion, with fiscal year 2025 posting a record $6.8 billion, of which whistleblowers contributed over $5.3 billion.
• A record 1,297 qui tam lawsuits were filed by whistleblowers in fiscal year 2025, reflecting increasing private sector participation in federal fraud enforcement.

Appeals court decision supports anti-fraud enforcement

As reported by the Senate Judiciary Committee, citing the Senate Committee on the Judiciary, U.S. Sen. Chuck Grassley welcomed a ruling by the United States Eleventh Circuit Court of Appeals that upholds the constitutionality of the False Claims Act's qui tam provision. The provision allows whistleblowers to file lawsuits against alleged fraudsters on behalf of the federal government and share in any recoveries.

Grassley, chairman of the U.S. Senate Judiciary Committee, says the ruling is a major win for whistleblowers and taxpayers. He says the False Claims Act remains the government's strongest...

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