July 1, 2020

DOJ Eyes Requirement That False Claims Act Whistleblowers Disclose Litigation Funding

On Monday, Deputy Associate Attorney General Stephen Cox of the Department of Justice announced that the Department is considering requiring whistleblowers to tell DOJ about any agreements they’ve struck with litigation funders, according to a report in Reuters.  

Cox said that the DOJ doesn’t really know the extent to which litigation financiers are involved in FCA litigation aside from what the litigation finance industry says publicly. DOJ, Cox said, is mulling “what, if any, interests the United States has with respect to third-party litigation funding in qui tam litigation and whether it is worth seeking some disclosure, at least to the department, of such arrangement.”

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