3/16/12

Vorys' False Claims Act Practice Featured in Cincinnati Business Courier

Attorneys & Professionals

Vorys’ partners Glenn Whitaker and Michael Bronson were featured in a Cincinnati Business Courier story titled “Whistle-blowers push False Claims suits to record.”   The story highlighted the increased number of False Claims Act (FCA) claims filed and the increased amount of money be awarded to whistleblowers through FCA settlements. 

The story states:

“Somewhat paradoxically, Vorys won  a major Supreme Court case in 2008 for  Allison Engine Co. that prompted some  of the 2009 changes, which now threaten even more businesses. The Allison  Engine case involved the procurement  in the 1980s of marine generators for  the U.S. Navy, but these days almost any  business can face a FCA claim.

‘The scope of the law is such that, if  you’re receiving federal money, you’re  at risk,’  Whitaker said.

Whitaker urges businesses to make  sure they have avenues of communication for would-be whistle-blowers, so  they can deal with issues internally and  head off government involvement and  possible litigation. ‘If they don’t have  any mechanism to express their complaints, they go external,’ he warned.

Once the government gets involved,  ‘they bring credibility and limitless resources that make it much harder to  litigate,” Bronson said. That happens  in only about 25 percent of cases, he  said, but those cases account for 90  percent of settlements and judgments.’”