4th Circ. Per-Invoice Rule: Warnings For Gov't Contractors
Law360, New York ( July 3, 2014, 10:59 AM EDT) -- The contracting community is well aware of the liability risk posed by the ever-expanding False Claims Act. First enacted in 1863 to combat contractor fraud during the Civil War, the pace and scope of FCA enforcement actions has mushroomed in recent years, driven in part by the emergence of modern theories of liability, such as the "fraudulent inducement" and "false certification" theories, and in part by the rise of increasingly sophisticated and opportunistic private relators. Contractors in the defense and national security space have been among those targeted by this trend. FCA cases in the area of procurement, primarily involving defense contractors, saw record recoveries of nearly $890 million in 2013, making the defense industry the second-largest target of FCA claims after the health care industry....
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