The legal field contains Latin terms, such as Qui Tam, a provision in the US False Claims Act. It is the shortened form of a Latin phrase that means “who sues on behalf of the King as well as for themselves.”
This lawsuit is a legal action where one person who aids the federal government in prosecution (that is, whistleblowers) is rewarded. The point of a qui tam action is to encourage private citizens to join the government in enforcing the law. This article contains all you need to know about filing a qui tam lawsuit in South Carolina.
Types of Qui Tam Lawsuits
Fraudulent actions can result in a qui tam lawsuit, including Medicare and Medicaid fraud. In addition, defense contractor fraud, procurement fraud, and fraudulent COVID relief claims are common types of qui tam lawsuits.
Individuals cannot file a qui tam lawsuit if they were criminally convicted for being involved in the fraud. Also, if there is another suit or the government is already pursuing the case, one cannot file a qui tam lawsuit. To file a qui tam action, the information must be public unless the whistleblower is the original source of the information.
When Does a Quit Tam Lawsuit Stand?
A qui tam lawsuit occurs when the False Claims Act is violated, usually by entities seeking to defraud the federal government. If an individual or company engages in the following conduct, they violate the FCA and will face penalties if found guilty:
- Intentionally presenting a false claim to receive a financial benefit
- Intentionally using or making a false statement that is a part of a false claim
- Intentionally using or making a false record to avoid having to pay the government
- Intentionally purchasing government property from an unauthorized government official
- Failure to find out if the information on a document is true before certifying receiving property on the said document
How Much Is the Reward for Qui Tam Lawsuit?
If the qui tam lawsuit is successful and the government recovers what it was defrauded of, the whistleblower can receive a reward of up to 30 percent of the recovered amount. However, to get this reward, it is not enough to merely inform the government of the fraud; there must be an official filing.
What is the Deadline for Filing a Qui Tam Lawsuit?
The False Claims Act has a statute of limitations for filing a qui tam lawsuit, which is six years. A claim must be filed within six years from the day the violation occurred to file the claim. However, in cases where the government is already aware of the fraud, you have three years from the day the government found out.
Is There Protection Against Retaliation?
The False Claims Act’s qui tam laws offer anti-retaliation provisions to protect whistleblowers against retaliation from their employers. If a whistleblower is fired or suffers any other kind of retaliation because of the suit, they can sue. The law also allows the whistleblower to sue to win extra damages as well as double back pay.
Conclusion: After Filing a Qui Tam Lawsuit
“Once you have filed a qui tam lawsuit in South Carolina, you need to prove the fraud claim with supporting documentation,’ says Attorney Bill Nettles, Attorney at Law. You might want to work with a knowledgeable attorney who will confidently file the lawsuit in a federal district court. As such, no one else will know about it but the government, not even the person you are filing a claim against.
Source: Bill Nettles Law, South Carolina
