Posts Tagged ‘qui tam’

Liability roundup

  • “Syracuse woman sued for not letting adopted cat sleep in bed with her” [CNYCentral]
  • St. Louis talc cases: “Thus, in order to vindicate their Due Process rights regarding personal jurisdiction…, the defendants had to litigate with over $5 billion in potential liability hanging over their heads. Not too many defendants [can] do that.” [Jim Beck on Johnson & Johnson win]
  • Allegation: “instructed Thomas to get behind the wheel of Thomas’ Avalanche to make it appear that Thomas was driving the vehicle at the time of the staged accident.” [WDSU on indictment of five in New Orleans car-crash scheme] “Those cameras right there saved between $150,000 and $200,000 just by capturing the fraud and us not having to go and defend it.” [Mike Perlstein, WWL] “Don’t listen to the lawyers, take tough action to curb [Louisiana] car insurance costs” [R.J. Lehmann and Marc Hyden, The Advocate; earlier here, here, and here]
  • Washington Legal Foundation monograph on judicial oversight of expert testimony [Evan Tager et al.; related webinar] “Stupid expert tricks,” pharmaceutical edition [Jim Beck]
  • “Art Imitates Life: ‘Billions’ Describes Six-Figure, Part-Time Jobs On Asbestos Trusts” [Daniel Fisher, Legal Newsline, 2018]
  • “DOJ eyes requirement that False Claims Act whistleblowers disclose litigation funding” [Alison Frankel, Reuters, remarks by Deputy Associate Attorney General Stephen Cox]

Liability roundup

  • U.S. Chamber’s annual lawsuit climate survey ranks Illinois as nation’s worst this year [Institute for Legal Reform]
  • Withholding material helpful to the defense: “Time for a Brady-type disclosure requirement for federal government in False Claims Act litigation” [Stephen A. Wood, Washington Legal Foundation]
  • “Both sides need to learn that frequently the best response to immature behavior is to ignore it. Don’t react, don’t sink to the other side’s level, don’t try to fight fire with fire.” Advice from a federal judge to the lawyers in a Florida case [Eugene Volokh; Doscher v. Apologetics Afield, Inc.]
  • Expert witness follies: litigation funders are filling the old tort lawyer role of bankrolling dodgy research on which future litigation campaigns can be based [Jim Beck]
  • Back in July I linked a grim assessment of Pennsylvania’s Oberdorf v. Amazon decision expanding product liability for retail platforms. Here’s a less grim one that came out around the same time [Gus Hurwitz, Truth on the Market]
  • By South Florida standards, those $1 million lawsuit fraud charges against an ADA lawyer the other day aren’t especially big; last year feds shut down an auto-claims ring they said cleared $23 million and involved “chiropractors, attorneys, clinic owners and tow-truck drivers.” [Paula McMahon, South Florida Sun-Sentinel; Insurance Fraud Hall of Shame]

Liability roundup

Higher education roundup

Feds: we’ve had it with qui tam gamesmanship

“The U.S. Department of Justice is asking federal judges around the country to dismiss lawsuits it says are brought by shell companies that misrepresent their true purposes – filing meritless litigation against health care companies…. The DOJ says these plaintiffs were created for the sole purpose of filing suit under the federal False Claims Act and is complaining that it spent hundreds of hours investigating kickback allegations only to find no merit to them…. Among the law firms representing the plaintiffs in the cases is the firm of prominent personal injury lawyer Mark Lanier of Texas.” [P. David Yates, Legal NewsLine/Forbes]

“Significant to DOJ’s analysis was the fact that the qui tam relators used ‘false pretenses’ to obtain information from witnesses. According to the government, the actions all were filed by a ‘professional relator’ entity that sought to develop contacts and inside information under the guise of conducting a research study of the pharmaceutical industry, and offering to pay individuals for information provided in a purported ‘qualitative research study,’ even though the information was ‘actually being collected for use in qui tam complaints filed by [the professional relator] through its pseudonymous limited liability companies.’…it would be awkward for DOJ to sit idly by and allow qui tam cases to proceed, in the government’s name—which is how the qui tam system works—when those cases are purportedly premised on a scheme one district court already described as involving ethical violations and ‘an elaborate series of falsehoods, misrepresentation, and deceptive conduct.'” [Joe Metro and Andy Bernasconi, Drug and Device Law]

And yet more: “Prominent qui tam lawyers are now questioning the nomination of William Barr as attorney general, citing comments he made nearly 30 years ago questioning the constitutionality of private relators under the FCA. Some of the lawyers who signed a recent letter to U.S. Sen. Chuck Grassley criticizing Barr, including Harvard Law School Professor Nancy Gertner, participated in litigation against Celgene that the government declined to join but nevertheless generated $280 million in settlements and more than $30 million in legal fees.” [Daniel Fisher, Legal NewsLine/Forbes]

August 8 roundup

  • North Carolina’s heartbalm law strikes again, as judge orders man who slept with married woman to pay jilted husband $8.8 million [Virginia Bridges, Raleigh News & Observer, more on homewrecker tort]
  • Cornell economist Rick Geddes explains the federal government’s postal monopoly [David Henderson]
  • Trademark swagger: “Chicago Poke Chain Sends C&D To Hawaiian Poke Joint Demanding It Not Be Named ‘Aloha Poke'” [Timothy Geigner, Techdirt] “Shipyard Brewing Loses Its Lawsuit Over Ships and The Word ‘Head'” [same]
  • “Man files lawsuit under False Claims Act against manufacturer of batteries for use in intercontinental ballistic missile launch controls, asks for $30 mil, settles for $1.7 mil. What follows is—in the trial court’s words—a “hellish” dispute over the man’s attorneys’ fees. Third Circuit: We feel you; the order reducing requested fees is affirmed in almost every respect.” [John K. Ross, Short Circuit, on U.S. ex rel. Palmer v. C&D Technologies]
  • Using the law to suppress one’s competition: New York Taxi Workers Alliance cheers City Council’s move to cap Uber and ridesharing [Reuters] It’s totally normal and not at all suspicious that the city council president who wants tougher enforcement against Airbnb is also president of the state’s hotel lobby [Eric Boehm, Reason; Biloxi, Mississippi]
  • For those still keeping score, it’s improper and prejudicial for the head of the nation’s law enforcement apparatus to declaim publicly against a criminal trial in progress, whether or not the defendant happens to be his own campaign manager [David Post, Volokh; April Post and podcast on inapplicable “fruit of the poisonous tree” claim]

April 4 roundup

February 14 roundup

  • “One-Sided Loser Pays Is the Worst of Both Worlds” [Mark Pulliam at his new blog Misrule of Law, and thanks for mention]
  • My first piece for Quillette debunks claims of jump in rate at which gay men are being murdered in U.S.;
  • Welcome news: Department of Justice memo advises DoJ attorneys to seek dismissal of meritless False Claims Act suits [Reuters, Federalist Society teleforum with Brandon Moss, Greg Herbers/WLF, Michael Granston memo]
  • Empirical evidence on factors that lead to approval of low-quality patents [Timothy Lee, ArsTechnica, noting ideas for improving patent review process: (1) eliminate issuance fees, (2) limit re-applications, (3) give senior examiners more time per patent]
  • “Will we see tort reform in the midterms?” [Joseph Cotto interview with me for San Francisco Review of Books, YouTube audio, 33:51]
  • FSMA will drive many smaller farmers/foodmakers out of business, only question is how many [Baylen Linnekin, our earlier]

Judge excoriates DoJ in False Claims Act case

Problems with applying the whistleblower law that has been described as a “cash cow” for the U.S. Department of Justice [C. Ryan Barber, NLJ]:

A federal magistrate judge has struck a key witness and ordered the U.S. Justice Department to pay legal fees to HCR ManorCare Inc., one of the country’s largest providers of skilled nursing facilities, for alleged missteps in a case the government touted in the crackdown on fraud in the health care industry. “I don’t think this case should have ever been brought,” a federal magistrate judge in Virginia said at a recent hearing. “I have looked at this stuff, and I’m appalled, I’m embarrassed, I’m ashamed that the Department of Justice would rely on this kind of nonsense.”

Earlier on qui tam and the False Claims Act here. [& followup, Toledo Blade: feds drop case]