Feb 14, 2020 · When you file a qui tam lawsuit, you are actually filing on behalf of the government. After filing, you will need to tell the government the facts of the case. If they decide to intervene at that point, you will likely not need to pay any attorney fees because your attorney is no longer trying the case; the government is.
Qui tam is a provision of the False Claims Act – it is a type of lawsuit that protects and rewards whistleblowers who report fraud to the U.S. Government so that they may try and recover funds lost as a result of fraud. United States citizens and foreigners of other countries may file a claim, however must do so with an attorney.
A qui tam whistleblower may not request fees unless there is an attorney-client relationship, even if the qui tam whistleblower is an attorney. For more information and case citations, please see Androphy “ Federal False Claims Act and Qui Tam Litigation …
Under the False Claims Act, there is a federal filing fee, as well as minor administrative expenses. Some whistleblower reward laws do not require such a fee. Usually, when you file a qui tam case, your DC lawyer will ask you to agree to a contingent fee arrangement. That means if you win, your qui tam lawyer will get a share of whatever you recover and take expenses from that recovery …
The FCA provides that whistleblowers may be eligible to recover legal costs from the defendant in addition to the reward itself. These expenses can include attorney fees and other costs associated with trying the case.
A whistleblower attorney usually performs an initial review of a case for free. Once the attorney decides to take the case, you can retain the attorney on a contingency basis. This arrangement means that you will pay the attorney only if the case is successful and you receive a reward from the government. An attorney who works on a contingency basis pays all expenses needed to represent you. These expenses include the costs of hiring expert witnesses, traveling, and completing documentation. They are also entitled to seek reimbursement of these expenses from the defendant if the case is successful.
If the Government Does Not Intervene. The government can always decide not to intervene in the case. In this instance, you may incur some costs once the case is over, but if you win, you will also receive a larger award because the government decided not to be a part of it.
When you meet with an attorney for the first time to review your case, that consultation will usually be free. This consultation is simply to determine if your case has merit. If it does not, you are not charged anything for that meeting. If it does, the attorney will likely take the case on a contingency fee basis.
This means that when the case is over, the attorney will receive a percentage of the compensation you are awarded. You do not have to pay for anything out of pocket.
After filing, you will need to tell the government the facts of the case. If they decide to intervene at that point, you will likely not need to pay any attorney fees because your attorney is no longer trying the case; the government is.
Both the federal False Claims Act and the California False Claims Act have provisions that allow whistleblowers to recover their attorney’s fees and other expenses. This means if you are successful, the defendant, or the person or company you blew the whistle on, is responsible for paying your attorney’s fees.
Qui tam is a lawsuit that allows persons and entities with evidence of fraud against federal programs or government contracts to sue the wrongdoer on behalf of the United States Government. The federal False Claims Act qui tam provision incentivizes whistleblowers, also known as “relators,” to give ...
Until the court orders the “seal” removed, whistleblowers must keep the fact that they filed a False Claims Act case strictly confidential. The False Claims Act has strict rules and technical procedures for filing a qui tam lawsuit or a request for a whistleblower reward.
Section 3729 sets forth anti-fraud requirements of the Act, and Section 3730 includes the provisions related to filing a qui tam lawsuit by a whistleblower.
The federal False Claims Act qui tam provision incentivizes whistleblowers, also known as “relators,” to give the government substantial evidence related to the biggest frauds. Those who succeed in their case are entitled to an award of between 15% and 30% of the total recovery the U.S. gets from the defendant.
A False Claims Act whistleblower can receive between 15 and 30 percent of the total recovery the U .S. gets from the defendant.
Section 3730 (h) of the False Claims Act states that any employee who is discharged, demoted, harassed, or otherwise retaliated against for taking actions to promote the purposes behind the FCA, can file an employment discrimination claim in federal court.
The False Claims Act protects whistleblowers who report fraud on the government and pays rewards to those who are successful in assisting the government in recovering funds lost to fraud. Additionally, a majority of the states have their own False Claims Act laws, which prohibit fraud against state government agencies.
Usually, the awarding of fees in litigation is governed by the so-called “American rule” which holds that each party bears the cost of its own attorneys’ fees.
It is important to remember that § 3730 (d) (1) & (2) provides for the mandatory award of three categories of expenses. The very language of the provision makes it clear that it is addressing three separate categories of expenditures. See United States ex rel. Lidenthal v. General Dynamics Corp., 61 F.3d 1402, 1413-14 (9th Cir. 1995), cert.
The best way to appreciate the intricacies of § 3730 (d) (1) & (2) is to dip into the pertinent case authority. Cases interpreting the section, while not extensive at this point, address those issues that would typically arise in litigation. Among the central principles established in the current case holdings are the following:
Whenever defense counsel is facing a qui tam complaint, he should at the outset fully brief the client on the potential additional liability that attaches as a result of § 3730 (d) (1) & (2). Depending upon the nature and complexity of the case, this additional liability may well substantially impact the client’s strategy.
First of all, to initiate a False Claims Act case or another kind of whistleblower reward case, the expenses are relatively small. Under the False Claims Act, there is a federal filing fee, as well as minor administrative expenses. Some whistleblower reward laws do not require such a fee.
False Claims Act procedure is unique under U.S. law, and you should discuss the special procedures involved with your DC whistleblower lawyer. For instance, these laws require that when you file your case, you have to inform the government about the facts of your case so the government can conduct an investigation of your claims.
For more information about whistleblowers, whistleblower laws, and how much a False Claims Act case might cost, click here.
Whistleblowers (known as “relators” in qui tam lawsuits) are awarded a whistleblower reward based on a percentage of the money recovered by the government when those recoveries are due to a qui tam lawsuit or claims made under the SEC, CFTC or IRS whistleblower programs.
Whistleblower rewards under the False Claims Act. The whistleblower (known as the “relator” in qui tam cases) may receive a reward of 15 percent to 25 percent of what the government recovers, if the government joins the qui tam case. If the government declines to join the qui tam lawsuit and the whistleblower proceeds against the defendant anyway, ...