Federal False Claims Act

Originally signed into law by President Lincoln during the Civil War, the False Claims Act (FCA) penalizes fraud against the U.S. government. The FCA also contains a “qui tam” provision private parties who know about this type of fraud to sue on behalf of the United States. It also allows them to receive up to 30% of a resulting recovery. The FCA continues to be one of the government’s strongest defenses against fraud, and it is often used to combat inflated Medicare claims or padded defense contracts. Most FCA actions are filed by whistleblowers. The False Claim Act protects these whistleblowers from retaliation in the workplace for bringing a claim against those who violate the FCA.