When in Reasonable Doubt, Wrong Still Means No Recovery
In an (unfortunately) unpublished opinion, the Third Circuit has now joined the D.C. Circuit in holding that a defendant’s reasonable interpretation of an ambiguous regulation or statute (even if erroneous) defeats scienter under the FCA. Putative FCA defendants navigating the regulatory morass of doing business with the federal government can take some comfort from this ruling, which we at Qui Notes hope other courts will readily embrace.
