US Supreme Court Upholds Broad, but Not Unfettered, Government Authority to Dismiss FCA Cases

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DOJ may dismiss qui tam False Claims Act cases at any point, as long as it intervenes in the case and satisfies the deferential Federal Rule of Civil Procedure 41(a) standard.

The US Supreme Court, in its 8-1 June 16, 2023, opinion in U.S. ex rel. Polansky v. Executive Health Resources, Inc.,1 clarified the government’s ability to dismiss False Claims Act (FCA) cases over a relator’s objection. Adopting the framework outlined by the US Court of Appeals for the Third Circuit, the Court upheld the broad discretion afforded to the US Department of Justice (DOJ) to dismiss qui tam actions, so long as DOJ intervenes and meets the standard for voluntary dismissal under Federal Rule of Civil Procedure 41(a).

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