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An Opening Salvo for Cybersecurity FCA Cases

Client Alert | 1 min read | 08.06.19

On July 31, 2019, Cisco Systems agreed to pay $8.6 million to settle allegations in United States ex rel Glenn, et al v. Cisco Systems, Inc. that the company violated the False Claims Act (FCA) by selling video surveillance systems to state and federal agencies that contained software flaws enabling those agencies to be hacked. An employee of one of Cisco’s resellers filed the suit in 2011 after discovering the alleged security weakness that could permit a cyber intruder to obtain administrative access to the software that managed video feeds.

The cybersecurity specialist alleged in his complaint that the company violated the FCA by (1) failing to inform government agencies that the software did not comply with the standards imposed by the Federal Information Security Management Act (FISMA) and (2) by providing a product that was worthless due to the security flaws in the software. Although this settlement marks the first time that a cybersecurity related qui tam has ended in a recovery through a settlement or judgment, it appears to be a sign of the times. As more such cases—alleging noncompliance with the DFARS Safeguarding Rule or FedRAMP requirements— are investigated and proceed through the courts, Glenn could be the first of many such recoveries.  

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Client Alert | 4 min read | 02.27.26

New Jersey Expands FLA Protections Effective July 2026: What Employers Need to Know

The New Jersey Family Leave Act (NJFLA) entitles eligible employees to up to 12 weeks of unpaid, job-protected leave per 24-month period for bonding with a new child, caring for a seriously ill family member, or responding to certain public health emergencies. The law covers employers with 30 or more employees worldwide, and employees must have at least one year on the job and 1,000 hours worked in the preceding 12 months to qualify. Unlike the federal Family and Medical Leave Act (FMLA), the NJFLA does not cover an employee’s own serious health condition, but instead pairs with New Jersey’s Temporary Disability Insurance (TDI) and Family Leave Insurance (FLI) programs, which provide partial wage replacement — funded through employee payroll contributions — when employees are out on qualifying leave. ...