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ARTICLE · 23 OCTOBER 2018

False Claims Act Suit Dismissed Based On Granston Memo Considerations

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Earlier this year, the Department of Justice (DOJ) provided some relief to defendants facing abusive False Claims Act (FCA) qui tam actions when it issued the Granston memo,

United StatesLitigation, Mediation & Arbitration
Akin Gump Strauss Hauer & Feld LLP
Akin Gump Strauss Hauer & Feld LLP
A. Michael Warnecke
A. Michael Warnecke
Charles F. Connolly
Charles F. Connolly
Robert S. Salcido
Robert S. Salcido
Elizabeth Marie Dulong Scott
Elizabeth Marie Dulong Scott
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Key Points

  • DOJ is implementing the Granston memo policy in seeking dismissal of FCA qui tam actions when it is in the government’s interest, particularly when protecting its resources, discretion and litigation priorities.
  • DOJ also recognizes the potential detrimental impact that FCA litigation may have on private companies’ willingness to enter into Cooperative Research and Development Agreements, given existing difficulties with negotiating intellectual property rights under such arrangements.

Earlier this year, the Department of Justice (DOJ) provided some relief to defendants facing abusive False Claims Act (FCA) qui tam actions when it issued the Granston memo, which provided guidance for DOJ attorneys evaluating the appropriateness of dismissal under 31 U.S.C. § 3730(c)(2)(A), as opposed to the DOJ merely declining to intervene in an action. Since the memo’s release, practitioners have closely followed the DOJ’s implementation of this policy and

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