The More Things Change, The More They Stay The Same: Seventh Circuit Takes New Path in Adding to Jurisprudence Supporting DOJ’s Right to Affirmatively Dismiss Qui Tam Actions

The Seventh Circuit has both fortified the DOJ position that it has broad authority to proactively dismiss actions brought under the False Claims Act’s qui tam provisions, and carved a new path for defending those motions. The appeals panel reversed a district court decision that DOJ failed to provide a sufficient basis for dismissal, adding to the body of cases siding with DOJ on this issue and increasing the difficulty of challenging a dismissal. However, the court took a novel route to its decision, creating a three-way circuit split. Combined with recent rumblings from Congress, the rules for affirmative qui tam dismissals may soon be in flux.

