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Fifth Circuit “Materiality” Ruling Recognizes FCA Limitations on Relators’ Ability To Second Guess Agency Decisions

3 October 2017
Meaningful Discussions Blog
Should whistleblowers be permitted to recover hundreds of millions of dollars when the Government steadfastly insists that the factual underpinnings of a False Claims Act relator’s allegations are flatly incorrect? Although a federal district court in Texas awarded more than $660 million in damages to a relator based on purportedly inadequate disclosures to a federal agency, the post-Escobar materiality standard served as an important guardrail for the U.S. Fifth Circuit Court of Appeals
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