THE FLORIDA FALSE CLAIMS ACT
QUESTIONS & ANSWERS
- What is the Florida False Claims Act?
- What does qui tam mean?
- What types of conduct or activities are covered under the False Claims Act?
- How can a private citizen receive an award under the False Claims Act?
- How much money can a private citizen receive for bringing a qui tam action?
- What is the liability for violating the False Claims Act?
- Who can be held liable?
- Is there a deadline for filing a qui tam action?
- How long does a qui tam action take?
- Can I keep my identity secret if I file a qui tam action?
- Do I have any protection against my employer firing me for blowing the whistle under the False Claims Act?
- How much does it cost to file and pursue a complaint?
- How do I find out more?
What is the Florida False Claims Act?
The False Claims Act is a Florida law that allows citizens with evidence of fraud against the State to sue, on behalf of the State, to recover triple the amount that has been defrauded.
As compensation for their efforts, the citizen, known as the “Relator”, can receive an award, typically between 15% and 30% of the total amounts recovered.
The term “qui tam” stands for a longer Latin phrase [qui tam pro domino rege quam pro se ipso in hac parte sequiter] that is translated as “he who brings an action for the king as well as for himself.” Qui tam is the technical legal term for the legal principal which allows individuals who have evidence of fraud to sue the wrongdoer on behalf of the government.
What types of conduct or activities are covered under the False Claims Act?
Virtually any situation within which the State is dispensing money, or collecting money, can give rise to a qui tam violation. Activities which constitute a violation under the False Claims Act include, but are not limited to:
(a) knowingly presenting, or causing to be presented, a false or fraudulent claim for payment, to a governmental agency;
(b) knowingly using, or causing to be used, a false record or statement to get a claim paid by a governmental agency;
(c) conspiring with others to get a false or fraudulent claim paid by a governmental agency;
(d) knowingly using, or causing to be used, a false record or statement to conceal, avoid or decrease an obligation to pay money or transmit money to a governmental agency.
How can a private citizen receive an award under the False Claims Act?
In short, it is only the filing of a qui tam lawsuit and subsequent settlement or favorable judgment which enable a private party to receive a recovery under the False Claims Act.
How much money can a private citizen receive for bringing a qui tam action?
The person who files the suit, known as the “Relator” can receive between 15% and 30% of the total recovery from the defendant, whether through a favorable judgment or settlement.
Under a Federal law, upon which the Florida law was modeled, Relators have received awards as high as one hundred fifty million dollars ($150,000,000.00) in a single case.
If a person brings a qui tam and the State chooses to intervene by taking over the lawsuit, the Relator generally is eligible to receive between 15% and 25% of the recovery.
If a person brings a qui tam action and the State chooses not to intervene, the Relator can proceed without the government and can receive between 25% and 30% of the recovery.
What is the liability for violating the False Claims Act?
Violators of the False Claims Act are liable for three (3) times the dollar amount that the State is defrauded plus civil penalties of $5,500 to $11,000 for each falseclaim submitted.
Virtually anyone who receives money from a governmental agency, pays money to a governmental agency, or helps someone else get money from a governmental agency, can engage in conduct which would make them liable for a violation of the False Claims Act.
Common examples of defendants in qui tam actions, include the following:
Individuals and Businesses: Virtually any individual or business who does business with any governmental agency, or sells something to a governmental agency, can be a defendant in a qui tam action.
Government Contractors and Subcontractors: Anyone who contracts to provide services or goods to a governmental agency can be a defendant for a vast array of qui tam claims.
Medical Providers: Doctors, hospitals, HMO’s and clinics are often defendants in qui tam actions, for Medicaid/Medicare fraud and a wide range of fraudulent billing practices which can range from charging for services not performed, to performing services which were unnecessary.
Local Government Agencies and Officials: Because they are recipients of large amounts of government money, local government entities can be defendants in qui tam actions.
Private Universities: Private universities and colleges have been charged as defendants in qui tam actions that involve their handling of grants and research and development money.
Is there a deadline for filing a qui tam action?
Under the False Claims Act, an action must be filed within the later of two time periods:
(a) Within six years from the date of the violation of the Act, or
(b) Within three years after the government learned, or should have learned about the violation, but in no event later than ten years after the violation of the Act.
Please Note - if, before you file, someone else files a False Claims Act lawsuit or helps publicize allegations similar to yours, you may lose your right to bring a qui tam suit.
How long does a qui tam action take?
The time from the filing of a qui tam action until its resolution varies greatly from case to case, and can range from months to years. Cases which are resolved more quickly are generally those within which the Relator has secured all of his or her proof in advance of filing the lawsuit. This increases the likelihood that the government will intervene and take over the case, and that, in turn, increases the likelihood that the case will settle sooner, rather than later.
Can I keep my identity secret if I file a qui tam action?
When you initially file a qui tam lawsuit, it is filed “under seal” and the defendant remains unaware of your lawsuit during a period within which the State reviews the claims contained within your lawsuit, and decides if it wants to take over your case.
Once the seal is lifted, however, it is highly unlikely that your name will not be disclosed to the defendant at some point.
Do I have any protection against my employer firing me for blowing the whistle under the False Claims Act?
Yes. Under the False Claims Act, any employee who is discharged, demoted, harassed or otherwise discriminated against because of lawful acts of the employee in furtherance of an action under the Act is entitled to receive all relief necessary to make the employee whole, under Florida law 112.3187.
Such relief may include reinstatement, double back pay, and compensation for any special damages including litigation costs and attorneys fees.
How much does it cost to file and pursue a complaint?
Most attorneys who are experienced in this area of law, represent clients on a contingency fee basis.
This means that you pay no out-of-pocket legal fees.
If your attorneys represent you on a contingency fee basis, they get paid if, and only if, your claim results in a monetary award or settlement, from which they get a percentage for their fees.
To obtain more information, contact:
Andrew J. Campanelli
Campanelli & Associates, P.C.
129 Front Street
Mineola, NY 11501
(516) 746-1600
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