DOJ Takes On Meritless Qui Tam Actions

A recently leaked internal memorandum (“Memorandum”) suggests the end is near for the Department of Justice (DOJ) practice of sitting idly by while relators use meritless qui tam actions to shake down companies unwilling to risk their reputations to fight False Claims Act (FCA) allegations.  While the FCA has long explicitly authorized DOJ to seek dismissal of any qui tam action – notwithstanding the objections of the relator who initiates the suit – so long as the relator is notified of the dismissal request and afforded a hearing, DOJ now appears ready to actually exercise its rights.  31 U.S.C.