High Court Limits When Noncompliance Can Trigger A False Claims Case

The Supreme Court on Thursday agreed with the government that a provider's noncompliance with regulatory requirements can be grounds for a False Claims suit denying payment, but industry lawyers call it a Pyrrhic victory for the administration because the court strictly limited the types of violations that may drive such suits. Hospital providers are happy with the unanimous decision because while it held the “implied certification theory” can be a basis for FCA cases, claims of statutory or regulatory violations...