{"id":357902,"date":"2016-04-04T10:45:32","date_gmt":"2016-04-04T15:45:32","guid":{"rendered":"https:\/\/content.findlaw-admin.com\/ability-law\/employment\/whistleblowers\/qui-tam-actions.html"},"modified":"2024-03-20T10:07:36","modified_gmt":"2024-03-20T15:07:36","slug":"qui-tam-actions","status":"publish","type":"page","link":"https:\/\/www.findlaw.com\/employment\/whistleblowers\/qui-tam-actions.html","title":{"rendered":"Qui Tam Actions"},"content":{"rendered":"\n
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Qui Tam Actions<\/h1>\n
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\n By Olivia Wathne, J.D.<\/a> | Legally reviewed by Melissa Bender, Esq.<\/a>\n | Last reviewed\n
\n \n <\/i>\n Legally Reviewed\n <\/summary>\n\n
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This article has been written and reviewed for legal accuracy, clarity, and style by FindLaw\u2019s team of legal writers and attorneys<\/a> and in accordance with our editorial standards<\/a>.<\/em><\/p>\n\n <\/div>\n <\/details>\n\n

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The last updated date refers to the last time this article was reviewed by FindLaw or one of our contributing authors<\/a>. We make every effort to keep our articles updated. For information regarding a specific legal issue affecting you, please contact an attorney in your area<\/a>.<\/em><\/p>\n\n <\/div>\n <\/details>\n<\/section>\n

Qui tam actions are lawsuits filed by individuals who believe that an entity is defrauding the government in some way. A qui tam action<\/a> lets the government recover lost money due to the employer’s fraud. It may also give the employee a percentage of recovery as a reward for filing the suit.<\/p>\r\n

The term "qui tam" is based on the Latin phrase: "[he] who sues in this matter for the king as well as for himself." This is a reference to the monetary rewards that qui tam whistleblowers can reap from successful claims. <\/p>\r\n

Liable defendants in qui tam lawsuits are often ordered to pay all court costs, expenses, and attorney’s fees. This is in addition to repaying the disputed amount. <\/p>\r\n

There is no requirement to show that the defendant intended to defraud the government. Rather, the court must prove that the defendant submitted the false claim with the knowledge that it was false or with reckless disregard.<\/p>\r\n

Whistleblower Rewards and the False Claims Act<\/h2>\r\n

The federal False Claims Act<\/a> (FCA) allows those not affiliated with the federal government (i.e. private sector employees) to file claims alleging fraud against the government. Congress strengthened the law in 1986 in the wake of reports that price gouging by defense contractors was routine. <\/p>\r\n

A federal contractor that sells the government equipment known to be defective may be accused of violating the FCA. To file a claim under the FCA is to "blow the whistle." As with other whistleblower claims<\/a>, qui tam actions must be made in good faith to receive legal protections.<\/p>\r\n

Those who bring qui tam actions under the FCA are eligible for between 15%-25% of the amount of fraud recovered. If a contractor overcharges the government by $100,000, the person bringing the claim may receive between $15,000 to $25,000 as a reward.<\/p>\r\n

False claims are any action that is intended to defraud the government, and can include:<\/p>\r\n