ADG False Claims Act

Overview

When Experience and Skill Matter Most

In the highly regulated Aerospace, Defense and Government Services (“ADG”) industry—where companies often depend heavily on government contracts—the stakes are especially high when it comes to False Claims Act (“FCA”) and procurement fraud investigations.

For decades, we have represented government contractors and their executives in False Claims Act investigations, defense, and litigation. Our team practice draws upon the experience of many former federal prosecutors and leverages capabilities from the firm’s government contracts, employment, insurance recovery, suspension and debarment, and white collar defense practices to help achieve successful outcomes in procurement fraud matters.

Our Practice

Our focus is to resolve FCA matters as quickly and cost-effectively as possible, working to convince the government not to intervene in FCA cases, and resolving matters without litigation. When litigation is necessary, we draw on a seasoned team of trial attorneys (including many former prosecutors), and litigate aggressively in federal and state courts around the country. We also have substantial experience resolving suspension and debarment cases and similar eligibility matters that may arise from an FCA proceeding.

We have successfully represented contractors in defending against FCA allegations involving virtually all forms of alleged misconduct, including cost and labor mischarging, false representations and certifications, GSA Schedule violations (including those based upon pricing and discounting disclosures and domestic preference compliance), export controls, kickbacks, organizational conflicts of interests, and defective pricing violations. We have worked with clients in a wide array of industry segments, including professional services, hardware and software, logistics, finance, pharmaceuticals, medical/surgical devices, and health care services.

Key Contacts

Related Services

Experience

A leading private security, training, risk assessment, and solutions provider in a litigation in the U.S. District Court for the Eastern District of Virginia involving claims of retaliatory discharge under the FCA by former employees. The plaintiffs alleged that they were wrongly discharged for reporting that the company submitted false results of weapons qualifications testing under a State Department contract in Afghanistan. After extensive negotiations, the matter was successfully settled for a fraction of the amount demanded by the plaintiffs. Related to that matter, the firm also represented the client in connection with an investigation by the Department of Justice and the State Department’s Inspector General under the FCA into similar allegations regarding weapons qualifications testing.
A global pharmaceutical company in one of the largest and longest-running FCA cases in history under the Medicare and Medicaid programs related to Average Wholesale Pricing (“AWP”) of drugs. This qui tam case remained under seal for more than a decade. Although the government intervened in cases against many other pharmaceutical companies, we convinced them not to intervene against our client. This case produced numerous federal and state private class actions, federal multidistrict litigation proceedings, and multiple state FCA actions. We litigated these cases, narrowed the issues and damages, and achieved a very favorable resolution of the matters.
One of the largest systems integrators in the world in FCA litigation related to technology alliances. The case included allegations of kickbacks, defective pricing, false statements, and anti-competitive activity and involved dozens of government contracts. We successfully resolved the case through aggressive motions practice, litigation, and mediation.
One of the world’s largest software companies in parallel criminal and civil FCA actions involving GSA Schedule contract pricing and discounts. We prepared witnesses for grand jury appearances and made detailed presentations that convinced the government to resolve the matter without criminal liability. We then successfully resolved the civil FCA claims without litigation and at a fraction of the government’s demand.
The world’s largest container shipping company in an FCA suit related to charges for cargo shipped to Iraq and Afghanistan—part of a series of cases involving the largest alleged fraud linked to the wars in Afghanistan and Iraq. We successfully negotiated a resolution of the matter before the case was unsealed and litigation began.
A major hardware and software reseller defending FCA claims based upon alleged violations of the Trade Agreements Act. The case was dismissed early based on our aggressive procedural motions.
An international software, hardware, and networking company accused of false claims relating to GSA Schedule contract pricing and discounts. Following the receipt of subpoenas and Civil Investigative Demands, we prepared witnesses, defended depositions, and convinced the government to resolve the matter at a substantially reduced amount.
A fighter aircraft manufacturer concerning allegations of illegal gratuities, labor mischarging, and improper progress payment requests. The district court granted our motion to dismiss, and we successfully defended that dismissal in the court of appeals.
A leading engineering services company defending allegations of false claims under a fixed-price contract. We secured a summary judgment ruling on behalf of our client and established favorable authority regarding the application of the FCA to fixed-price contracts.
A leading contingency and logistics contractor in its successful defense of a qui tam litigation involving a major program supporting U.S. diplomatic efforts in Afghanistan. Leveraging motions practice, discovery, and the prospect of a c(2)(A) dismissal to rebut the relator’s allegations, we settled the case for a fraction of the amount sought.