False Claims Act (FCA) qui tam fraud claims must be arbitrated as a result of arbitration agreements signed by relators who have brought FCA fraud claims on the government’s behalf, author Dino L. LaVerghetta of Wilmer Cutler Pickering Hale and Dorr LLP says, following the holding of a little-noticed case.
What’s more, he explains, such binding arbitration should bar the U.S. from later re-litigating issues decided in arbitration.
If so, this is a factor that both defendants and the Justice Department must weigh in assessing the grounds for DOJ to intervene in a qui tam case.
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