Alerts4.19.23

U.S. Supreme Court Justices Consider Relevance of Subjective Knowledge Under False Claims Act

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U.S. Supreme Court is considering whether a defendant’s subjective beliefs about the meaning of a statute or regulation are relevant under the False Claims Act if the defendant’s claim was supported by an objectively reasonable interpretation

On April 17, 2023, the U.S. Supreme Court heard oral argument in the consolidated cases of United States ex rel. Schutte v. SuperValu Inc. and United States ex rel. Proctor v. Safeway, Inc. The dispute concerns the relevance of an actor’s subjective knowledge under the False Claims Act (FCA) when the actor adopts an incorrect but nevertheless “objectively reasonable” interpretation of a statute or regulation.

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