Bloomberg Law
Jan. 3, 2019, 5:10 PM

Hyperliteral False Claims Rule Not Intended, SCOTUS Told

Daniel Seiden
Daniel Seiden

Congress can’t possibly have intended the False Claims Act timeliness standard the Eleventh Circuit used to revive a challenge to a bid-rigging scheme, two contractors told the U.S. Supreme Court in their opening brief.

Allowing the case to proceed would incentivize whistleblowers to delay disclosing fraud to the government in order to maximize their damages recoveries, the brief said.

Letting whistleblowers take advantage of the act’s three-year filing period when the government doesn’t intervene in a case reflects a “hyperliteral reading” of the statute that the Supreme Court explicitly rejected in a 2005 ruling, the brief said.

Whistleblower Billy ...