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Intentional Low Bid Is Not A False Claim

Client Alert | 1 min read | 02.26.04

In U.S. ex rel. Bettis v. Odebrecht Contractors of Cal. (Jan. 28, 2004), the D.C. federal district court granted summary judgment in the contractor's favor, rejecting numerous False Claims Act allegations, including, most notably, the relator’s theory that the contractor had fraudulently induced the government to enter into a construction contract by intentionally underbidding for the project, while allegedly planning to submit false changes claims during performance. While expressly recognizing that false estimates could be the basis of an actionable false claim, the court ruled that the mere knowing submission of an unreasonably low bid (at least in the absence of any subsequent illegitimate request for adjustment) did not, by itself, cause the government to pay out funds to which the contractor was not entitled.

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Client Alert | 7 min read | 10.27.26

New Developments in DOJ Whistleblower Policies and HHS Disclosures: Key Takeaways for General Counsel, Chief Compliance Officers, and Boards

On October 20, 2026, the U.S. Department of Justice’s (DOJ) National Fraud Enforcement Division announced a new whistleblower rewards initiative, the Fraud Whistleblower Incentive Program (WHIP). Assistant Attorney General Colin M. McDonald issued a directive earlier this month directing Division leadership to design and implement policies and programs that incentivize whistleblowers to bring forward credible information pertaining to fraud. The new WHIP incentive pays awards of $10,000 to $30,000 for qualifying tips at or around the time criminal charges are filed or unsealed, rather than years later at case resolution....