December 19, 2018

“DOJ: Company Wasted 1,500 Hours of Gov’t Time Filing Meritless Suits”

The U.S. Department of Justice (DOJ) announced it was looking to dismiss 11 False Claims Act lawsuits after learning a company used a cookie-cutter-style model and major plaintiffs’ lawyers to file qui tam lawsuits that were “essentially cloned,” Law360 reports.

A report by Legal Newsline in Forbes further investigated the companies that filed the suitsHealth Choice Group and its parent company National Health Care Analysis Groupand found them to be established by investment bankers and represented by “prominent” plaintiffs’ lawyers like Mark Lanier of Texas. Under the guise of a “qualitative research study,” these companies offered to pay employees of major pharmaceutical companies to give them information that was later used in qui tam, or whistleblower, lawsuits under the False Claims Act.

According to the DOJ, it was “apparent that certain allegations are repeated from one complaint to the next, including seemingly particularized allegations.” According to Legal Newsline, DOJ attorneys spent 1,500 investigating the 11 complaints before concluding they should be dismissed.

U.S. Department of Justice building in Washington D.C. Blog Department of Justice Rolls Back Key Over-Enforcement Reforms Over-Enforcement Blog Law 360 Expert Analysis: "False Claims Act Proposal Is Unfair And Would Hinder Economic Growth" False Claims Act (FCA) News In The News-July 22, 2021 Class Action Litigation, Over-Enforcement News Cali. Court Rejects Postmates Efforts To Send Wage Suit To Arbitration Arbitration, Over-Enforcement News Maine Gov. Vetoes Bill That Would Have Allowed Private Enforcement Action Over-Enforcement
We Use Cookies to Make your Experience Better

What do we use cookies for?

We use cookies and similar technologies to recognize your repeat visits and preferences, as well as to measure the effectiveness of campaigns and analyze traffic. To learn more about cookies, including how to disable them, view our Cookie Policy. By clicking "I Accept" or "X" on this banner, or using our site, you consent to the use of cookies unless you have disabled them.