A local government is subject to qui tam False Claims Act lawsuits, the U.S. Supreme Court ruled on March 10 - In Brief - Brief Article

Healthcare Financial Management, May, 2003

A local government is subject to qui tam False Claims Act lawsuits, the U.S. Supreme Court ruled on March 10. The court's decision in Cook County v. United States ex ref. Chandler clarified that the term "person" in the act clearly includes private corporations, municipal corporations, and counties.

The court also put aside the county's argument that punitive damages may not be imposed on local governments unless expressly authorized by statute and that the treble damages of the act were punitive. See the decision at www. supremecourtus.gov/opinions/02pdf/01-1572.pdf.