The False Claims Act, also called Lincoln Law, is a federal law that seeks to stop fraudulent claims for payment being sent to the U.S. federal government. False claims can also be violated under state law. An individual who suspects a business of knowingly providing the government with fake charges can file a lawsuit.
According to the False Claims Act, a defendant found guilty of providing false claims may be subjected to penalties. These penalties include:
Whether a plaintiff is compensated depends on whether the U.S. Justice Department takes over the case. After a case is filed, the Justice Department takes a look at the case. This is prior to the complaint being sent to the defendant. It may decide to prosecute the case. In other words, take the case from the plaintiff and prosecute the defendant on behalf of the government.
The citizen plaintiff who initiated the action will receive:
For example, if a person initiates a lawsuit under the False Claims Act, they will receive 15 percent of any damages if the Justice Department prosecutes the case. If the citizen’s attorney litigates the case, then they will get 25 percent.
False claims against the government is common. If you want to know more about False Claims Act penalties, consult a business attorney. An attorney will be able to explain the Act and how to proceed with a claim.
Last Modified: 04-14-2015 04:42 PM PDTLaw Library Disclaimer
We've helped more than 4 million clients find the right lawyer – for free. Present your case online in minutes. LegalMatch matches you to pre-screened lawyers in your city or county based on the specifics of your case. Within 24 hours experienced local lawyers review it and evaluate if you have a solid case. If so, attorneys respond with an offer to represent you that includes a full attorney profile with details on their fee structure, background, and ratings by other LegalMatch users so you can decide if they're the right lawyer for you.