In an (unfortunately) unpublished opinion, the Third Circuit has now joined the D.C. Circuit in holding that a defendant’s reasonable interpretation of an ambiguous regulation or statute (even if erroneous) defeats scienter under the FCA. Putative FCA defendants navigating the regulatory morass of doing business with the federal government can take some comfort from this ruling, which we at Qui Notes hope other courts will readily embrace.
Regulations, Compliance, & Enforcement
Trending Now
Proposed DFARS Rule Could Require Disclosures and Mitigation Related to Foreign Ownership, Control, and Influence (FOCI) on Certain Unclassified Contracts • OMB Plans to Make IT Contract Data Collection Public, Per Federal CIO • The DOJ Wants Strong FCA Whistleblower Lawsuits From Data Miners • US Investors Earn to Ukrainian Defense Startups—But Export Laws Slow Cooperation • Virginia Expands Restrictions on Employee Non-Compete Agreements
When in Reasonable Doubt, Wrong Still Means No Recovery
Track False Claims Act cases, audit trends, and compliance best practices with our Compliance & Enforcement newsletter, delivering up-to-the-minute intelligence Monday–Saturday — Subscribe here.