Supreme Court to Tee Up New Fight Over False Claims Act Scope (2)

The justices are almost certain to reject a narrow reading of the False Claims Act, but unlikely to do so expansively—at least for now.

The FCA, which calls for triple damages and a minimum statutory penalty, is intended to prevent fraud against the government by allowing private parties or whistleblowers to sue on behalf of the government. These “qui tam” actions can be brought against anyone alleged to have submitted a false claim to the government.

The question for the court in the case argued Monday is whether allegedly false claims made against a fund set up through government regulation ...