Federal FCA Claim Litigations

• Represented multi-billion dollar logistics company Agility Logistics in a criminal fraud indictment and False Claims Act litigation venued in the Northern District of Georgia.  The litigation arose from allegations from a qui tam relator that Agility defrauded the federal government in the performance of Prime Vendor Contracts in Iraq.  Agility resolved the alleged $10 billion fraud with a single count misdemeanor plea in connection with a single invoice valued at $551 and a civil settlement. The misdemeanor, unrelated to any of the original criminal charges, required Agility to pay a maximum of $551 in restitution, but no criminal fine. As part of the global settlement, Agility and its subsidiaries around the world were removed from the list of entities suspended from contracting with the U.S. government.  
• We are conducting an internal investigation for a medical device manufacturing company that was subpoenaed by the Department of Justice. In addition to making medical devices, the company submits claims to Medicare and Medicaid for services it performs as a government-regulated Independent Diagnostic Testing Facility (“IDTF”).  Our internal investigation is targeting toward preventing a potential future Department of Justice-led case under the False Claims Act relating to those reimbursements.
• Represented a defense contractor alleging violations of the False Claims Act, breach of contract and fraud based on a conduct in Iraq. Successfully secured a voluntary dismissal with prejudice from the qui tam relator in an action where the government declined to intervene.
• We also represented Hughes Aircraft in obtaining a dismissal against both the United States government and the relator in a qui tam False Claims Act case alleging mischarging under government contracts.
• We also represented The Parsons Corporation in a multi-million dollar complaint alleging violations of the Federal False Claims Act.  Obtained dismissal of complaint by motion.
• Represented AIG in False Claims Act litigation relating to two former life insurance subsidiaries.  Obtained dismissal with prejudice of all claims in multiple federal and state proceedings.
• Representing Gilead Sciences, Inc. in litigation arising under the False Claims Act in the United States District Court in the Eastern District of Pennsylvania.
• Represented Novartis Pharmaceuticals Corporation in a civil action commenced by the U.S. Attorney’s Office for the Southern District of New York alleging violations of the False Claims Act arising from market share rebate agreements with specialty pharmacies.
• We achieved the complete abandonment of an investigation by the Department of Justice into claims potentially valued at more than half a billion dollars against a major U.S. aerospace and defense contractor. We were engaged midway through a seven year investigation after the U.S. government contended that the contractor was negligent and had committed violations of the False Claims Act amounting to potentially more than $600 million in damages.  After multiple presentations by our attorneys arguing that the government’s case was not supportable under the False Claims Act, government contract regulations or negligence law, the government decided to drop the investigation without taking any action.
• Represented Apollo Corporation in False Claims Act litigation filed in Sacramento, California.  Obtained dismissal of case following depositions of Relators and other discovery. Successfully handled appeal to Ninth Circuit.
• Represented Lovelace Hospital, which at the time was owned by CIGNA Healthcare, in a DOJ civil False Claims Act investigation and settlement of Medicare Part A reimbursement issues.
• Represented the Orange County Health Care Agencyin a DOJ civil False Claims Act investigation and settlement of Medicare and medical billing issues.
• We obtained complete dismissal of all claims in a qui tam/False Claims Act case on behalf of Northrop Grumman. Relator sought over $1 billion arising out of alleged wrongful billings in connection with $4.5 billion satellite project for the U.S. government.  After a complete internal investigation and subsequent presentation to the government, we secured a total victory by persuading the Department of Justice to decline to intervene and the relator to voluntarily dismiss.
• Represented a defense contractor in an action alleging violations of the False Claims Act, breach of contract and fraud based on conduct in Iraq. Successfully secured favorable settlement of all claims in government-intervened action. 
• Represented a defense contractor in False Claims Act case involving allegations of falsified weapons qualifications in Kabul, Afghanistan, resulting in favorable settlement of all claims.
• Represented pharmaceutical, medical device, and health care technology companies and executives in non-public investigations conducted by federal and state enforcement agencies alleging off-label promotion, improper sales and marketing practices, pricing issues, and violations of the Anti-Kickback Statute, the False Claims Act, HIPAA and HITECH.
• Represented a medical device company in a False Claims Act case alleging that client overcharged the United States for patient monitoring equipment sold to the U.S. Department of Veterans Affairs (VA) and the Department of Defense.
• Represented a not-for-profit health system and several individual defendants in a False Claims Act case alleging that Defendants upcoded medical procedures and accepted kickbacks from medical device companies. 
• Represented nine former employees of an MA plan in a FCA case alleging that defendants failed to allocate federal insurance dollars in an appropriate way.
• The firm obtained a terrific settlement on behalf of its client, ACADEMI Training Center, LLC (f/k/a/ Blackwater USA), resolving a False Claims Act case that had been ongoing for seven years. The case, originally filed in 2011, arose out of allegations that ACADEMI submitted invoices to the State Department for payment that contained false and misleading statements about the services that the company provided pursuant to a defense contract it had with the State Department.
• Also representing ACADEMI in a false claims case involving allegations of falsified weapons qualifications in Kabul, Afghanistan.
• Representing a medical device companyin connection with parallel civil and criminal actions for alleged violations of the Food Drug and Cosmetic Act and the False Claims Act for alleged off label drug promotion.
• Successfully represented Beverly Enterprises in false claims action.
• We represented an international engineering firm against allegations that it violated the False Claims Act and over-billed the federal government by allegedly engaging in improper intercompany cost transfers. On the eve of trial, the case was settled for little more than nuisance value.

State FCA Claims

• We represent Sagitec Solutions, LLC in a California state court action against the Broad of Regents of the University of California. Sagitec was retained by the University of California to replace its aging Pension Administration System, which administers pension benefits to thousands of retirees.  Despite typical software development setbacks, the University of California now claims that Sagitec violated the California False Claims Act along with common law claims, including fraudulent inducement.  We successfully demurred the California False Claims Act and fraud-based claims, and we will file a second demurrer aimed at those same deficiencies.
• Represented Toyobo, a major Japanese fiber manufacturer, in federal and state False Claims Act cases arising from the sale of a high-performance fiber used in the manufacture of hundreds of thousands of bullet-resistant vests.

Litigation Involving Government Contractors

• We represent a medical provider in connection with responding to a civil investigative demand inquiring into the provider’s practice and relationship with other providers.
• We represented Actelion Pharmaceuticalsin a three year Department of Justice investigation into marketing practices related to the drug Tracleer. The investigation concluded without any criminal charges being filed and with the dismissal of the related qui tam
• We represented The Parsons Corporation in a “whistle-blower” qui tam lawsuit—in which the federal government did not intervene—where issues of proper accounting under Cost Accounting Standards 410 and 418 were in play. We resolved this litigation by obtaining a favorable settlement on behalf of the firm’s client.
• We also represented The Parsons Corporation in a cost allowability dispute before the Armed Services Board of Contract Appeals, which was successfully resolved upon undertaking extensive depositions of the government’s contracting officials.
• We represented a major aerospace company in a federal lawsuit brought by a large European aerospace conglomerate involving a dispute over solar arrays used in satellites. We obtained summary judgment and a complete dismissal of the $133-million negligence, negligent misrepresentation, and fraud claims.
• Represented Abbott Laboratories against qui tamsuit alleging improper payments to physicians related to use of biliay, carotid, and peripheral vascular products. 
• Represented Johnson & Johnsonin an eight year criminal and civil investigation into the alleged off label promotion of the drug Natrecor.
• Represented a Medicare Advantage (“MA”) against allegations that it inflated its Risk Adjustment scores in order to increase the capitated payments that Medicare paid for each beneficiary in the plan. 
• Worked with a regional health care system to refute allegations that it upcoded various procedures and also provided medically unnecessary services to its patients.
• Represented a not-for-profit educational corporation in responding to a government investigation alleging the misuse of federal grant money and conspiring to commit grant fraud.
• We successfully defended Roche Molecular Systems against claims of infringement of Stanford HIV patents related to viral load and therapy decisions. Stanford challenged Roche patent rights, asserting that Stanford, rather than one of its researchers, owned patent rights resulting from government-funded research.  At the trial court, we obtained summary judgment of invalidity due to obviousness, and a favorable ruling on appeal to the Federal Circuit regarding standing to enforce the patents-in-suit.  The United States Supreme Court affirmed the Federal Circuit in a 7-2 decision, confirming a complete victory for the firm’s clients.  Quinn Emanuel’s client, Roche, now owns a portion of the patent rights asserted against it by Stanford, allowing Roche to continue to make and sell its life-saving HIV kits free from Stanford’s claims.
• Represented a client in responding to a government investigation alleging client’s business practices violated the Financial Institutions Reform, Recovery, and Enforcement Act.
• We represent Janus Global Operations in a complaint alleging breach of contract, trade secrets, and conspiracy claims related to a prime-subcontractor dispute where Janus is accused of trying to sabotage the prime contractor’s relationship with the government client. We prevailed – with all counts and all claims for relief denied -  in initially defending against a motion for TRO/preliminary injunction.  We then obtained a dismissal from federal district court; the matter is now pending in arbitration
• We represented Mammoth Lakes Land Acquisition, LLC in a two-week jury trial resulting in a verdict finding breach of contract against the Town of Mammoth Lakes. We obtained a judgment of $30 million for our client—the largest jury verdict in the history of Mono County, California and the 67th largest verdict in the nation at that time.  In addition to a judgment for the client, we also secured an award of attorneys’ fees.  On appeal, our appellate attorneys successfully persuaded the California Court of Appeal to affirm the judgment in full.
• We advised the state oil company of a former CIS state in relation to the design and construction of an oil refinery in southeastern Europe and potential claims against the contractor group responsible for the design and construction of the facility for delays and failure to meet performance specifications, as well as potential counterclaims from the contractor group for delay and disruption and changes to specifications.
• We have represented a number of major government contractors in evaluating instances of alleged mischarging and reporting findings to the federal government, with resulting administrative resolution of the issues.
• We represented Raytheon in a case brought against it by an individual who claimed that he was entitled to millions of dollars in commissions on the sale of the Patriot missile system to Saudi Arabia. As a result of our extensive negotiations with the Saudi government, a Saudi minister submitted an answer to a written interrogatory disavowing plaintiff’s right to any recovery.  We subsequently obtained a voluntary dismissal during trial.
• We represented a major government contractor with respect to alleged mischarging issues that were the subject of a grand jury investigation and resolved the matter administratively through contract modification.
• We have counseled the California Institute of Technology over time concerning its contract with NASA for operation of the Jet Propulsion Laboratory.
• We represented an international engineering firm and its joint venture partners against allegations of accounting fraud and over billing by the government in connection with a long-term infrastructure construction project. We obtained dismissal of the fraud claim and are awaiting the result of a six-month bench trial.
• We represented an international engineering firm in a dispute with the federal government over the manner in which environmental clean-up services were accounted for and charged. The engineering firm was accused of overbilling millions of dollars.  The government agreed to settle the dispute without the engineering firm having to pay any allegedly over billed amount to the government.
• We represented an international construction and engineering firm against federal qui tam action brought by former employee alleging various over billing and improper billing on government projects and secured a complete victory on our motion to dismiss.
• We represented Litton Systems in a qui tam case, joined by the government, alleging misallocation of overhead costs for data processing services. We resolved this case by securing a favorable settlement for Litton Systems.
• We represented Fluor Daniel Corp. in a qui tam claim by former employee overseeing cleanup of former Department of Energy nuclear fuel processing facility north of Cincinnati, challenging cost and schedule estimates for project and resolved the qui tam claim by obtaining a favorable settlement.
• We represented Jacobs Engineering Group in a qui tam action, joined by the government, alleging improper charging of rental costs after sale and leaseback of headquarters building. The case resulted in a favorable settlement.
• We represented Shell Oil Company in state and federal actions alleging underpayment of royalties on government oil leases; the matters ultimately settled.
• We represented Loral in its defense of a derivative lawsuit related to one of the first direct broadcast satellite permits.
• We represented a number of satellite manufacturers in disputes with the federal government relating to acquisition and performance disputes, including prosecuting and defending disputes before the Armed Services Board of Contract Appeals and the U.S. Claims Court, and obtained favorable outcomes.
• We represented Northrop Grumman against multiple employment and qui tam suits brought by former employee in a qui tam matter alleging flaws in circuitry for guidance system for MX Missile. The representation included a jury trial and appellate proceedings in the Ninth Circuit and the Supreme Court.  All qui tam claims were dismissed and plaintiff received no monetary recovery after payment of sanctions award and attorneys’ fees.
• Representing a compound pharmacyin connection with parallel civil and criminal actions for alleged violations of the anti-kickback statute.
• Represented a Southern California hospital chainin connection with criminal and civil investigations by the United States Attorney’s Office for alleged violations of the anti-kickback statute.
• Represented Alvarado Hospital Medical Center, Inc.in an eleven-month jury trial in which the Hospital, Tenet, and a former CEO of the Hospital were accused of conspiracy and violations of the federal healthcare anti-kickback statute. Following trial, the judge dismissed all criminal charges.
• We represented Dayton T. Brown in two separate protests, one at the Government Accountability Office and the other at the U.S. Court of Federal Claims, successfully defending bid protests against award of testing facilities contracts to the company.