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ARTICLE · 05 AUGUST 2021

Legislation Introduced To "Beef Up" The False Claims Act

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In order to prevail in an FCA case, the relator or the government must prove the necessary elements enumerated in the FCA.

United StatesGovernment, Public Sector
Marcia Madsen
Marcia Madsen
Kelly Kramer
Kelly Kramer
Michael Levy
Michael Levy
Cameron R. Edlefsen
Cameron R. Edlefsen
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Senators Grassley (R), Leahy (D), Kennedy (R), Durbin (D) and Wicker (R) have introduced legislation to amend the False Claims Act, 31 U.S.C. §§ 3729-3731 ("FCA") in order to "beef up the government's most potent tool to fight fraud" according to Senator Grassley's press release.1 This proposed legislation "clarifies the current law following confusion and misinterpretation of the Supreme Court decision in United Health Services v. United States ex rel. Escobar," discussed below.2 If passed, the legislation will amend the FCA in substantive ways to include increasing the standard of proof imposed on defendants seeking to rebut evidence of materiality, making it easier for the government to seek reimbursement of discovery-related expenses and requiring the United States to demonstrate reasons for dismissal at a hearing, while also providing the qui tam plaintiff the opportunity to show why the government's reasons for dismissal are arbitrary and capricious.3

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