Broad Interpretation of Contractor Liability under False Claims Act to Be Reviewed by Supreme Court

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The U.S. Supreme Court agreed December 4 to hear a case that should significantly clarify the scope of potential contractor liability under the federal False Claims Act (FCA) – specifically, whether by submission of an invoice to the government, a contractor is implying it is in compliance with every rule and provision in the contract. Universal Health Services, Inc. v. United States ex rel. Escobar, cert. granted (U.S. Dec. 4, 2015) (No. 15-7).

This theory, also known as the implied certification theory of liability, has not been accepted by all federal courts of appeal, but is utilized by all …read more

Read more here:: Government Contracting

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