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False Eligibility Application For Grant May Violate FCA

Client Alert | 1 min read | 11.09.05

In a ruling that could expand the exposure of grantees to False Claims Act liability, the Seventh Circuit in United States ex rel. Main v. Oakland City University (Oct. 20, 2005) held that a relator stated an FCA claim based upon a private university's allegedly false representation, made on a "phase one" application to establish institutional eligibility for federal financial aid, that it would comply with laws prohibiting payment of incentive fees to recruiters for enrolling students. Rejecting the argument that the "phase one" application does not by itself seek any payment, the court reasoned that a false "phase one" eligibility application could be actionable as a "false record or statement" under the FCA because it supports subsequent "phase two" requests for specific loans and grants.

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Client Alert | 4 min read | 03.05.26

DOL’s Proposed Independent Contractor Rule Reverts to Prioritize Two Core Factors – Likely Limiting Misclassification Claims by Contractors

The U.S. Department of Labor (DOL) has proposed another revision to independent contractor regulations, one that would provide for more leeway in classifying workers as contractors. DOL’s proposed rule, published on February 26, 2026, would rescind the Biden DOL’s March 2024 independent contractor regulation and reinstate a framework substantially tracking the prior Trump rule of January 2021. The proposed rule would also apply the narrower analysis to worker classifications under the Family and Medical Leave Act (FMLA) and the Migrant and Seasonal Agricultural Worker Protection Act (MSPA). The comment period closes in late April 2026; until then, the 2024 rule remains in effect for purposes of private litigation....