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Insurance Coverage for FCA Lawsuits
For companies that have business dealings with the government, the False Claims Act (“FCA”), 31 U.S.C. ” 3729-3733, needs no introduction. The FCA, which at a high level prohibits making false claims to obtain payment from the federal government, has led to billions of dollars in recovery by the United States Department of Justice (DOJ). Indeed, in each of the last four years, the DOJ has recovered more than $3 billion, including $3.8 billion in 2013 alone. See Justice Department Recovers $3.8 Billion from False Claims Act Cases in Fiscal Year 2013, Dept. of Justice, http://1.usa.gov/1VyZsNn. In October 2014, a federal jury handed down a $175 million verdict against a Texas manufacturing company accused of making false claims in connection with the installation of highway guardrails. See Trinity Industries Whistleblower Awarded $175 Million in Guardrail Suit, The Wall Street Journal, http://on.wsj.com/1LX9g24. With the potential for trebled damages, attorneys' fees, and penalties under the FCA, that figure could increase.
The prevalence of FCA claims against companies is compounded by the fact that private persons ' called “relators” ' are able to file FCA suits on behalf of the government as qui tam plaintiffs (as derived from the Latin phrase ” qui tam pro domino rege quam pro se ipso in hac parte sequitur,” meaning “he who sues in this matter for the king as well as for himself”). The FCA entitles relators to receive up to 30% of the amount recovered by the government through qui tam actions. 31 U.S.C. ' 3730(d). Companies face additional liability under the FCA for retaliating against purported whistleblowers. In recent years, the FCA has been further bolstered by amendments that provide additional inducements and protections to qui tam plaintiffs.
Virtually no industry is immune from FCA claims. The FCA implicates all government contracts, including defense contracts, construction contracts, and various government programs such as federally insured loans and mortgages, education grants, and Medicare.
Major Differences In UK, U.S. Copyright Laws
This article highlights how copyright law in the United Kingdom differs from U.S. copyright law, and points out differences that may be crucial to entertainment and media businesses familiar with U.S law that are interested in operating in the United Kingdom or under UK law. The article also briefly addresses contrasts in UK and U.S. trademark law.
Strategy vs. Tactics: Two Sides of a Difficult Coin
With each successive large-scale cyber attack, it is slowly becoming clear that ransomware attacks are targeting the critical infrastructure of the most powerful country on the planet. Understanding the strategy, and tactics of our opponents, as well as the strategy and the tactics we implement as a response are vital to victory.
The Article 8 Opt In
The Article 8 opt-in election adds an additional layer of complexity to the already labyrinthine rules governing perfection of security interests under the UCC. A lender that is unaware of the nuances created by the opt in (may find its security interest vulnerable to being primed by another party that has taken steps to perfect in a superior manner under the circumstances.
Removing Restrictive Covenants In New York
In Rockwell v. Despart, the New York Supreme Court, Third Department, recently revisited a recurring question: When may a landowner seek judicial removal of a covenant restricting use of her land?