1. Home
  2. |Insights
  3. |First Means First: Dismissal of Prior Related Actions No Cure For Relator’s First-to-File Defect

First Means First: Dismissal of Prior Related Actions No Cure For Relator’s First-to-File Defect

Client Alert | 1 min read | 08.15.17

The Fourth Circuit held in United States ex rel. Carter v. Halliburton – its third decision in this protracted litigation – that the False Claims Act’s first-to-file rule required dismissal of the relator’s action, because relator brought his case while related cases were pending even though those related cases had since been dismissed and the relator’s complaint subsequently amended.  The court explained that the statutory text of the first-to-file rule is “unambiguous” and “affords courts no flexibility to accommodate an improperly-filed action when its earlier-filed counterpart ceases to be pending.”  The court acknowledged that its holding “may raise statute of limitations problems” for some FCA relators, but noted that (1) the FCA’s objective of putting the government on notice of fraud was already met by the first-filed actions, and (2) FCA defendants also have an interest “in repose and avoiding stale claims outside the limitations period.”

Insights

Client Alert | 6 min read | 03.26.24

California Office of Health Care Affordability Notice Requirement for Material Change Transactions Closing on or After April 1, 2024

Starting next week, on April 1st, health care entities in California closing “material change transactions” will be required to notify California’s new Office of Health Care Affordability (“OHCA”) and potentially undergo an extensive review process prior to closing. The new review process will impact a broad range of providers, payers, delivery systems, and pharmacy benefit managers with either a current California footprint or a plan to expand into the California market. While health care service plans in California are already subject to an extensive transaction approval process by the Department of Managed Health Care, other health care entities in California have not been required to file notices of transactions historically, and so the notice requirement will have a significant impact on how health care entities need to structure and close deals in California, and the timing on which closing is permitted to occur....