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Healthcare Organizations and Practitioners Receive New Protection Against Frivolous Whistleblower Lawsuits

Jose Vela, Jr., for Clark Hill:

Last Friday, the U.S. Supreme Court (SCOTUS) handed down an important ruling that will give healthcare organizations and practitioners relief against meritless whistleblower lawsuits. The ruling could result in saving organizations and practitioners their time, money, and reputation.

In a near-unanimous 8-1 decision, the SCOTUS affirmed the Third Circuit Court of Appeals on whether the federal government may obtain dismissal of a whistleblower lawsuit it declined to intervene under the federal False Claims Act (FCA). Upon a defendant’s request or its own volition, the federal government may move to voluntarily dismiss a FCA case over the objection of the whistleblower.