Lawyer Shoots Self in Foot with Shotgun Approach to Litigation
Client Alert | 1 min read | 04.05.17
On April 4, 2017, in US ex rel. Hayes v. Allstate Insurance Co., the Second Circuit joined the D.C. Circuit in holding that the “first-to-file” rule is not jurisdictional; rather it goes to whether the plaintiff has stated a claim on which relief may be granted. In an accompanying non-precedential Summary Order, the court also upheld dismissal with prejudice as to the relator, an attorney, for violating Rule 11 by alleging that more than sixty companies – largely insurance companies – were systematically non-compliant with certain statutory obligations to reimburse Medicare even though he had no personal knowledge that all named companies had participated. In affirming the lower court, the Second Circuit concluded that denial of leave to amend to add 38 new defendants was not an abuse of discretion.
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Client Alert | 4 min read | 05.18.26
(Not) All’s Weld That Ends Weld: Duty Evasion Scheme Ends in Historic $549.5M FCA Settlement
The Department of Justice (DOJ) and the cross-agency Trade Fraud Task Force have upped the ante by an order of magnitude in the government’s pursuit of customs fraud. On May 1, 2026—only a few months after setting its previous record-high customs-related False Claims Act (FCA) settlement of $54.4 million with Ceratizit USA, LLC—the DOJ shattered that record with a $549.5 million settlement with Perfectus Aluminum Inc., its subsidiary Perfectus Aluminum Acquisitions LLC, and a set of four affiliated warehousing companies. The Perfectus settlement resolves allegations that the defendants violated the FCA by evading antidumping and countervailing duties (AD/CVD). The settlement resolves three separate qui tam complaints filed by two individual relators and the Aluminum Extruders Council, an international industry association. Defendants were previously criminally convicted on charges related to the same scheme, and those convictions were affirmed by the Ninth Circuit in 2024.
Client Alert | 7 min read | 05.18.26
Client Alert | 6 min read | 05.18.26
Seventh Circuit Opens the Door on Loyalty Program Tax Exclusions
Client Alert | 5 min read | 05.18.26
The Hidden Ingredient Problem: PFAS Litigation and Regulation Are Reshaping the Beauty Industry
