The False Claims Act imposes liability for knowingly presenting false claims for payment to the government, or for false records material to such claims.
Knowingly includes actual knowledge, deliberate ignorance and reckless disregard. No specific intent to defraud is required.
Falsity theories. Factually false claims for goods not delivered; legally false claims where a certification of compliance was untrue; implied certification, where a claim asserts compliance by requesting payment for services rendered while omitting non-compliance with material requirements.
Materiality is a demanding and central element. Continued government payment with knowledge of the non-compliance is strong evidence that the requirement was not material.
Reverse false claims cover knowing avoidance of an obligation to pay the government, including retention of overpayments beyond statutory periods.
Qui tam procedure. A relator files under seal, the government investigates and elects to intervene or not, and the relator receives a percentage of any recovery. The seal period, extensions, and the public disclosure and first-to-file bars all shape the case.
Damages and penalties. Treble damages plus per-claim civil penalties, which in high-volume billing contexts can dwarf the actual loss and raise constitutional excessiveness arguments.