Substantial Penalties Under the FCA Without Real Damages Violates Eighth Amendment
Client Alert | 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 | 4 min read | 06.26.25
Ninth Circuit Affirms that CIPA Only Applies to Third-Party Eavesdropping
Crowell attorneys have closely monitored developments related to the California Invasion of Privacy Act (“CIPA”). In particular, we have watched plaintiffs attempt to extend this wiretapping law to encompass website chatbot communications that are managed by third parties.
Client Alert | 4 min read | 06.24.25
CBP Issues First Comprehensive Guide to Modifying a Withhold Release Order (WRO)
Client Alert | 4 min read | 06.23.25
Selling Electricity to Data Centers or Any End User: Will FERC Regulate You?
Client Alert | 2 min read | 06.18.25