Bradley attorney Ty Howard was quoted in the ALM Supreme Court Brief on the Court’s Universal Health Services v. Escobar decision to uphold implied certification theory but impose limits on its use. The ruling rejected the government’s view of materiality that any statutory, regulatory or contractual violation is material so long as the defendant knows that the government would be entitled to refuse payment were it aware of the violation.
“The court’s significant limitations on when that theory can apply and the significant bolstering of the materiality requirement foreclose the government’s most expansive use of the theory and create a much higher bar for qui tam plaintiffs to clear before FCA liability can apply, both of which will be welcome news to health care providers, government contractors, and others that do business with the federal government,” said Howard.
The complete article, “Justices Expand False Claims Act Liability—With Conditions,” appeared in the ALM Supreme Court Brief on June 16, 2016. (login required)