Healthcare and Government Contractors Beware: False Claims Act’s “Objective Falsity” Requirement Dispute Between Circuits Persists Following Denial of Cert by U.S. Supreme Court
Due to COVID-19, there have been a significant amount of economic incentive programs and government contract opportunities to assist in stimulus and responding to the crisis. This is in addition to the typical government procurement and healthcare costs reimbursements by the government. When individuals or entities interact with the government, there is False Claims Act (FCA) liability associated with monies that were not properly earned or claimed. At times, whether a claim was actually false is in dispute and reasonable minds may disagree. On February 22, 2021, the U.S. Supreme Court declined certiorari to hear two petitions, which would have resolved a circuit court split regarding whether the FCA requires “objective falsity” of information or a claim to establish liability.
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