FCA Settlement Does Not Bar Third-Party Claims
Client Alert | 1 min read | 12.03.09
In Cell Therapeutics Inc. v. Lash Group Inc. (9th Cir. Nov. 18, 2009), the Ninth Circuit ruled that an FCA settlement entered into between a drug manufacturer and the government and relator did not preclude the drug manufacturer from bringing state common law claims against an expert in Medicare reimbursement protocol for having allegedly advised that the false Medicare billings were proper. Although a company found to have violated the FCA may not shift its FCA liability to a third party, the suit was not foreclosed because, first, "independent" claims for damages were asserted; and, second, a settlement agreement without an admission of FCA liability does not constitute a finding of FCA liability, which could preclude recovery against a third party.
Insights
Client Alert | 2 min read | 07.15.26
CMMC Phase II Suspension Requires Reconsideration of Such Requirements in Solicitations
As discussed in more detail here, the U.S. Department of War (DoW) recently issued a memorandum (Memo 26-P-1023, dated July 13, 2026) directing the immediate suspension of Cybersecurity Maturity Model Certification (CMMC) Phase II requirements (Level I and II self assessments are still permitted). Significantly, the memo directs that “all pending and future CMMC implementation milestones across DoW solicitations and contracts are held in abeyance until further notice.” Moreover, the DoW issued a memorandum on implementing these requirements (available here), directing agencies to issue amendments removing CMMC Level 2 and 3 requirements from active solicitations “as soon as practicable.” Contractors should monitor the government’s compliance with this requirement and should be prepared, if needed, to file a bid protest to protect their rights.
Client Alert | 3 min read | 07.15.26
Client Alert | 3 min read | 07.14.26
Client Alert | 3 min read | 07.13.26
Amici Rally Behind Liberty Global, Urging Tenth Circuit to Rein in Economic Substance Doctrine
