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FCA Does Not Authorize In-House Counsel/Relator to Reveal Client Confidences

Client Alert | 1 min read | 11.18.13

In Fair Lab. Practices Assocs. v. Quest Diagnostics (Oct. 25, 2013), the Second Circuit affirmed the dismissal of a qui tam suit that was brought by a general partnership formed for the purpose of bringing the suit because (1) the partnership included the defendant's former general counsel, and (2) the former general counsel violated his ethical obligations by divulging confidential client information in pursuit of the litigation, notwithstanding that a non-lawyer member of the partnership initiated the suit. While the Second Circuit did not create a bright-line rule barring all in-house lawyers from using client information in FCA cases, it did strike a balance between a lawyer's ethical obligations to the client and the government's competing interest in encouraging "whistleblowers" to report fraud, finding that the disclosure exceeded what was necessary to prevent the client from committing a crime.


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Client Alert | 4 min read | 10.30.26

Two Wrongs Don’t Make a Right: GAO Sustains Protest Where Agency Tried to Fix PIA Violation with a Second PIA Violation

Recent sustain decisions by the U.S. Government Accountability Office (GAO) in Fluor Federal Solutions, LLC and Reliance Test & Technology send a clear message: when an agency tries to fix a Procurement Integrity Act (PIA) violation by committing a second one, the cure can be just as fatal as the disease. The cases involved the U.S. Air Force’s $1.8 billion procurement for O&M services at Elgin Air Force Base. During discussions, the Air Force inadvertently released a pricing overview slide with all offerors’ bottom-line evaluated costs to Reliance Test & Technology, which immediately notified the agency of the error. In response, the Air Force decided to level the playing field by providing the same information to all the other offerors in the procurement, stating, “[o]fferors may consider this disclosure in their [final proposal revision].”...

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