The False Claims Act (FCA) is one of the most powerful tools in fighting fraud against the federal government. If you’re considering blowing the whistle on fraud or already involved in whistleblower litigation, understanding your rights and responsibilities is critical.
Here are the most frequently asked questions (FAQs) about whistleblower lawsuits under the FCA—answered clearly and with an SEO emphasis to help you find trustworthy legal information when you need it most.
1. What Is the False Claims Act?
The False Claims Act (31 U.S.C. §§ 3729–3733) allows private citizens—also called “relators”—to file lawsuits on behalf of the U.S. government against individuals or companies that have defrauded federal programs. These lawsuits are known as qui tam actions. If successful, whistleblowers may receive a significant financial reward, often ranging from 15% to 30% of the amount recovered.
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2. What Types of Fraud Are Covered by the FCA?
The FCA applies broadly to fraud involving government funds. Common examples include:
- Medicare or Medicaid billing fraud
- False certifications of compliance with federal contracts
- Overcharging the government or delivering substandard goods
- Misuse of Paycheck Protection Program (PPP) loans or COVID relief funds
- Research grant fraud or defense contractor misconduct
3. Who Can File a Whistleblower Lawsuit?
Anyone with non-public information about fraud against the federal government can file a qui tam lawsuit. This includes:
- Current and former employees
- Contractors or consultants
- Competitors
- Patients or private citizens
In some cases, even individuals who were complicit in the fraud may file suit, although their reward may be reduced.
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Start Your Claim Today4. How Much Can a Whistleblower Recover Under the FCA?
If the government intervenes in the lawsuit and money is recovered, whistleblowers are entitled to 15% to 25% of the recovery. If the government declines to intervene and the whistleblower pursues the case independently, the share can increase to up to 30%. Recent FCA settlements have resulted in millions of dollars being awarded to whistleblowers.
5. Will My Identity Be Protected If I File a Claim?
Initially, qui tam complaints are filed under seal, meaning they are not public and the defendant is not notified while the government investigates. However, if the case moves forward, your identity will likely be disclosed. Working with a knowledgeable FCA attorney can help you assess your privacy risks and protect your interests.
6. What Are the Risks of Becoming a Whistleblower?
Whistleblowers may face retaliation, including termination, demotion, harassment, or blacklisting. Fortunately, the False Claims Act contains strong anti-retaliation provisions. If you suffer retaliation, you may be entitled to reinstatement, double back pay, and compensation for damages, including legal fees.
7. What Role Does the Government Play in FCA Cases?
After a qui tam complaint is filed under seal, the Department of Justice (DOJ) investigates and decides whether to intervene. If the government intervenes, it assumes primary responsibility for prosecuting the case. If not, the whistleblower may still proceed, though often with increased legal responsibility.
8. What Is the Statute of Limitations for Filing a Claim?
The FCA generally requires whistleblower complaints to be filed within:
- 6 years of the violation; or
- 3 years from when the government knew or should have known about the violation (but no later than 10 years after the violation)
Because time limits vary based on your specific circumstances, consult with a whistleblower attorney as soon as possible.
9. Can I File a Claim if the Government Already Knows About the Fraud?
Possibly. Under the FCA’s “public disclosure bar,” a whistleblower cannot file a lawsuit based on publicly disclosed information unless they qualify as an “original source” with independent, material knowledge. An experienced attorney can help evaluate whether you meet this standard.
10. Why Should I Hire a Whistleblower Attorney?
False Claims Act cases are complex, requiring detailed pleadings, strict timelines, and strategic interaction with federal investigators. A skilled whistleblower lawyer can:
- Help gather and present evidence
- Draft a compelling sealed complaint
- Negotiate with DOJ attorneys
- Maximize your potential reward
- Protect you from retaliation
Look for a law firm with a proven track record in FCA and qui tam litigation.
