Sixth Circuit Rules That Statute of Limitations for FCA Retaliation Claims Is Triggered by Decision To Terminate, Not Notice of Termination
The Sixth Circuit held in El-Khalil v. Oakwood Healthcare, Inc. that the decision to terminate an employee, rather than notice to an employee of the decision, triggers the statute of limitations for a retaliation claim under the False Claims Act. The plaintiff, a podiatrist who was required to re-apply for hospital privileges every two years, allegedly witnessed the submission of false Medicare claims by employees at the hospital where he worked and reported the alleged misconduct to the federal government. Subsequently, the hospital allegedly decided not to renew his privileges. The hospital’s Medical Executive Committee rejected the plaintiff’s appeal of the non-renewal decision on September 22, 2016, at which point the decision was “final.” The plaintiff received notice of the decision on September 27, 2016, and filed suit three years after receiving notice, on September 27, 2019, alleging that the decision was retaliatory and violated the FCA.
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