martindale.com Legal Library
|
CIVIL FALSE CLAIMS ACT: D.C. Circuit Reinforces SAIC Decision in False Certification Case, Rejecting FCA Damages Claim in Case Based on Lack of Supporting Documentation by Douglas W. Baruch Fried, Frank, Harris, Shriver & Jacobson LLP - Washington Office
John T. Boese Fried, Frank, Harris, Shriver & Jacobson LLP - Washington Office
|
|
May 25, 2012
Previously published on May 23, 2012
In late 2010, the United States Court of Appeals for the D.C. Circuit issued a seminal decision rejecting the government’s damages theory in a civil False Claims Act “false certification” case. In United States v. Science Applications International Corp. (“SAIC”), while affirming false certification (there was an alleged violation of conflict of interest rules) as a basis for falsity under the FCA, the appellate court nonetheless ruled that the district court erred in instructing the jury, in assessing damages, not to place any value on the actual services SAIC provided under the contract.See SAIC, 626 F.3d 1257 (D.C. Cir. 2010).See also FraudMail Alert No. 10-12-06. In SAIC, the Justice Department argued, and the jury agreed, that the FCA damages were three times the full amount paid under the contract ($1,973,839.61), even though the actual breach of contract damages were only $78. This groundbreaking decision essentially held that the Supreme Court’s decision inUnited States v. Bornstein, 423 US. 303 (1976) governs all FCA damages calculations, even in cases based on false certifications.
|
The views expressed in this document are solely the views of the author and not Martindale-Hubbell. This document is intended for informational purposes only and is not legal advice or a substitute for consultation with a licensed legal professional in a particular case or circumstance. |
| | View More Library Documents By... | | | | |
| | | | Fried, Frank, Harris, Shriver & Jacobson LLP Overview |
Practice Area Resource Centers
|
|