A qui tam lawsuit is a type of civil lawsuit. It is frequently associated with whistleblower cases and the False Claims Act; it allows individuals unaffiliated with the government to file actions against federal contractors and claim fraud against the government. In a qui tam suit, the whistleblower is entitled to a percentage of the recovery of the penalty.
The rewards will vary based on the nature of the case. If there is government intervention and funds are recovered through a trial-like scenario, the whistleblower would receive around 15 to 25 percent of what is recovered. When the government doesn't intervene and the case is pursued by the whistleblower and his or her team, the whistleblower reward is higher—generally between 25 and 30 percent of what is recovered. Keep in mind that anybody can file qui tam cases unless the government or a private party has already filed a similar lawsuit.
One benefit of qui tam cases is that they help alleviate fraud in our society. This includes Medicare and Medicaid fraud, defense contractor fraud, and many other types of fraud that affect the government. It is important to stop these fraudulent activities because they cost the government and taxpayers billions of dollars.
If you have knowledge about fraudulent activity, contact Whistleblowers Against Fraud at (866) 973-FRAUD. Remember, the mere knowledge about fraudulent actions does not solve any problems. Acting on what you know and taking the first step by calling the number above can make a lasting impact.