On October 18, 2017, a federal district judge in Alaska ordered a former employee to pay nearly $170,000 of his ex-employer’s legal fees as sanction for removing nine attorney-client privileged documents prior to his termination. The ruling was based on a decision this summer that the former employee willfully and
Whistleblower
Proposed Rule Would Restrict Confidentiality Agreements Between Contractors and Their Employees
On January 22, 2016, the Department of Defense, General Services Administration, and National Aeronautics and Space Administration proposed a new rule that would amend the Federal Acquisition Regulation to implement a section of the Consolidated and Further Continuing Appropriations Act of 2015 (the “Act”) addressing contractors’ use of confidentiality agreements.…
Internal Investigation Documents Are Protected from Disclosure in False Claims Act Case, D.C. Circuit Holds
Reversing a lower court decision, the D.C. Circuit recently concluded – for a second time – that certain internal audit documents are protected from disclosure by the attorney-client communication and work production privileges. On August 11, 2015, the D.C. Circuit issued a second writ of mandamus regarding the same group…
Petition Urges DOL To Target Contractual Clauses Discouraging Whistleblowing
The Government Accountability Project (GAP) and Zuckerman Law recently petitioned the U.S. Department of Labor (“DOL”) to issue rules and guidance prohibiting “de facto” gag clauses in settlement and severance agreements that dissuade whistleblowers from engaging in protected activities.
Department of State Inspector General Issues Report on Contractor Confidentiality Provisions with Employees
Yesterday, the Office of the Inspector General for the U.S. Department of State (OIG) issued a report on its review of the use of confidentiality agreements and policies by Department of State contractors. In preparing the report, OIG sent a five-question survey to the 30 contractors with the largest Department…
Fourth Circuit Potentially Expands Scope of FCA Liability
On January 8, Fourth Circuit Court of Appeals, in United States ex rel. Badr v. Triple Canopy Inc., embraced a theory of implied certification under the False Claims Act (“FCA”), representing a departure from prior Fourth Circuit jurisprudence.
Proposed Rule Would Allow Contractors’ Employees To File Whistleblower Disclosures With OSC
Last week, the U.S. Office of Special Counsel (“OSC”), an independent federal investigative and prosecutorial agency that handles claims of wrongdoing within the executive branch of the federal government, proposed revising its regulations to expand the categories of employees who may file a whistleblower disclosure with OSC. Currently, only federal…
Sixth Circuit Dismisses Whistleblower’s Claims Made By Job Applicant
This week, the U.S. Court of Appeals for the Sixth Circuit ruled that a job applicant lacks standing to bring whistle-blower claims under the Energy Reorganization Act and the False Claims Act (“FCA”) because those laws’ retaliation provisions apply only to employees. The Sixth Circuit is the first Court of…
False Claims Act Does Not Protect An Employee Disclosing His Whistleblower History
On October 20, the United States District Court for the Southern District of Ohio found that the False Claims Act (“FCA”) did not protect an employee who was fired after revealing his history as a whistleblower and offering to help his new employer prevent overcharges on a government contract. The…
New Jersey Federal Court Allows “Self-Help” Counterclaims Against Potential FCA Whistleblowers To Proceed
Last week, a New Jersey federal court allowed medical device maker Boston Scientific Neuromodulation Corp. (“Boston Scientific”) to proceed with counterclaims against two of its former employees for violating their contracts with the company by retaining and disclosing company proprietary data after they were terminated. The former employees have asserted False Claims Act claims against Boston Scientific, accusing it of submitting fraudulent claims for one of its devices and engaging in a kickback scheme with doctors.