Substantial Penalties Under the FCA Without Real Damages Violates Eighth Amendment
Client Alert | less than 1 min read | 02.23.12
Using reasoning that could prove useful to other FCA defendants, the court in U.S. ex rel. Bunk v. Birkart Globistics GmbH & Co. (E.D. Va. Feb. 14, 2012), after the jury found over 9,000 false claims based on invoices submitted, refused to award statutory penalties of between $50.2 and $100.4 million. The court held that, when the qui tam relator failed to show that the government suffered any damage, imposing penalties of this magnitude would have violated the Eighth Amendment’s Excessive Fines Clause and, because it lacked discretion under the FCA to fashion a civil penalty that would be within Constitutional limits, no penalties could be imposed.
Insights
Client Alert | 7 min read | 08.17.26
Delayed Notification of Cyberattacks May Trigger HIPAA Breach Notification Rule
After identifying a ransomware attack in 2021, OSF Healthcare System waited until its forensic investigation had concluded before notifying the U.S. Department of Health and Human Services (HHS) — and the affected individuals — of the breach. The 110-day delay (nearly double the 60-calendar-day notification deadline mandated by the HIPAA Breach Notification Rule) triggered an investigation from HHS’s Office for Civil Rights (OCR). The health system’s investigation determined that protected health information (PHI) had been stolen.
Client Alert | 4 min read | 08.14.26
License to Hack? The White House Greenlights Private-Sector Offensive Cyber Operations
Client Alert | 4 min read | 08.13.26
Supreme Court Confirms Contractual Loss of Bargain Without Repudiatory Breach
Client Alert | 7 min read | 08.12.26
Developments in Canadian Investment Treaty Practice: New FIPA Between Canada and UAE in Force
