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 | 5 min read | 07.01.26
What U.S. Patent Holders Need to Know About Inequitable Conduct Right Now
If a court finds that a patent applicant intentionally misrepresented or withheld material information from the USPTO with the intent to deceive, the consequences are severe, leading to unenforceability of the entire patent (and likely any later patents claiming priority to the unenforceable patent).
Client Alert | 3 min read | 06.30.26
Qatar Labor Law: Key Amendments Introduced by Law No. 9 of 2026
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When Trade Secret Theft Becomes Racketeering: What the Fifth Circuit’s New Ruling Means
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Federal Roundup: Updates for PBMs and Medicare Advantage Organizations
