On June 1, the Supreme Court issued its much-awaited opinion in U.S. ex rel. Schutte v. SuperValu, Inc. and U.S. ex rel. Proctor v. Safeway, Inc., handing down a unanimous decision reversing the Seventh Circuit and rejecting the application of Safeco’s “objective reasonableness” standard to the False Claims Act. The decision will have significant ramifications not only for FCA litigation pending in the Seventh Circuit, but in courts across the country, as multiple courts of appeals and district courts have also adopted an “objective reasonableness” requirement.

In this episode, Pub K Group Managing Editor Bill Olver speaks with Arnold & Porter Partners Tirzah Lollar and Christian Sheehan, who discuss what the decision means and its implications for FCA defendants. 

0:00 – Introduction
3:00 – Reaction to the Decision
5:30 – The Key Takeaways from the Decision
10:30 – The Effect on Future and Ongoing FCA Litigation
18:45 – Advice for Potential FCA Defendants 

Show Notes

Unanimous Court Rejects Safeco Standard in Win for Plaintiffs

Making Sense of Schutte: Supreme Court Rejects Objective Reasonableness Defense, but Leaves Plenty of Unresolved Questions (and Potential Defenses) For FCA’s Scienter Requirement