Qui tam lawsuits are one of the most effective tools private citizens have to fight fraud and abuse in federal contracting and grantmaking — and one of the least understood. They let whistleblowers expose wrongdoing, gain protection from retaliation, and share in the government’s recovery.
The attorneys at Maverick Litigation have handled qui tam litigation in the federal courts of West Virginia, Ohio, and Pennsylvania. As former federal prosecutors, we assessed qui tam complaints and represented the United States in False Claims Act enforcement actions. We can walk you through the process and help you decide whether it’s the right option for your concerns.
What Is a Qui Tam Lawsuit?
“Qui tam” comes from a Latin phrase meaning “he who brings an action for the king as well as for himself.” These actions are filed under the False Claims Act (FCA), which allows private individuals — including employees — to sue people and companies committing fraud against the federal government.
Qui tam cases typically arise in a few key areas: defense and other federal contractors misrepresenting information or delivering false products, healthcare providers committing billing fraud against Medicare and Medicaid, and entities obtaining federal grants under false pretenses.
How the Process Works
The whistleblower — called the relator — files a complaint under seal in federal court and serves the government with a written disclosure of the evidence. Under seal, the case stays off the public docket and the defendant is not notified; only the court and the government see it. The seal runs for sixty days, but extensions are routine, and cases often remain sealed for a year or more while the government investigates.
If federal attorneys find merit in the claims, they can intervene and litigate the case themselves. If they decline, the whistleblower may proceed alone. Either way, a successful case entitles the relator to a share of the recovery — generally 15 to 25 percent when the government intervenes, and 25 to 30 percent when the whistleblower litigates alone. Depending on the facts, that can be a significant award.
The FCA also protects whistleblowers from retaliation. If an employer responds with harassment, demotion, or termination, remedies include reinstatement, double back pay, and compensation for special damages.
Two rules make timing critical. Under the first-to-file bar, only the first whistleblower to file on a given set of facts may pursue the claim. And under the public disclosure bar, a case can be dismissed if the allegations were already public — unless the whistleblower is an original source. If you are weighing whether to come forward, waiting can cost you the claim entirely.
Maverick Litigation’s Qui Tam Practice
All three of our attorneys previously worked for the Department of Justice, where they investigated qui tam complaints and prosecuted False Claims Act cases. That experience gives us a clear view of how the government evaluates these cases — and when it is likely to intervene.
If you have questions about whether a qui tam action makes sense, or what it could mean for your career and reputation, contact us. Speaking with us creates no obligation to come forward or file. We will give you our best legal advice — not pressure.