Qui Tam is a legal term that refers to the mechanism in the Fed. Fake Claims Act. By making use of Qui Tam provisions, a person can sue a person group or organisation on behalf of the United States administration for committing a fraud against various Fed. programs.
The govt. might or might not arbitrate in this kind of case. A private plaintiff may bring about a Qui Tam action and reporting fraud on behalf of the government on his very own (but the with a bit of help from a lawyer). Below you will find the most significant facts related to Qui Tam:
I. If the same case if filed by over one qui tam plaintiff, some of them may remain in the case. Not many people are aware about the fact the Fake Claims Act operates on a first in time and first in right statute. But there are cases where the second to file has more detailed info and proof concerning the fraud and they can also stay in the case. The qui tam action may also be barred when a complainant files the case in sequence to a civil case that has already been filed by the government.
II. While ‘first to file ‘ rule might appear as a limitation to some of the people, it has really inspired a sizeable number of people to promptly report a case of fraud. The risk linked with this rule may alter relying on the situation. For example, if you are looking to report an industry-wide fake activity, there is a good likelihood that someone has filed a wider case against everyone in the concerned industry.
III. Cases falling under the category of False Claims Act qui tam can't be based primarily on information which has been divulged publically. To paraphrase, the law encourages people with enough insider information to go ahead and report a fake activity to the govt.. Info available in the public domain can't be employed by a litigant to state a claim.
What's the role of the qui tam laws to the protection of the whistleblowers? Learn the answer from the document of Lucinythe Kosovich.