Detroit Qui Tam & Federal False Claim Lawyers

The Federal False Claims Act

Under the Federal False Claims Act, a private individual or “whistleblower” with knowledge of past or present fraud perpetrated against the federal government (usually by an employer) can sue on behalf of the government to recover stiff civil penalties and damages.

The person bringing the suit is known as the “Relator.” If the suit is successful, it not only stops the dishonest conduct, but it also deters similar conduct by others in the future. Additionally, in certain cases the government may decide to step in and assist in the litigation. When successful, this may result in the Relator receiving a substantial share of the government’s recovery – as much as 25 percent of the total. And if the government decides not to intervene, the Relator may conduct the action unilaterally (with the help of experienced counsel, of course). This means that he or she would be entitled to 25 to 30 percent of the amount of any judgment or settlement reached.

Because government agencies are commonly overtaxed, sometimes the fraud goes unnoticed. When it is discovered, law enforcement and prosecutors may not have the manpower or resources to adequately and timely pursue legal action. To assist in that effort, there are specific kinds of lawsuits known as Qui Tam actions that enable private citizens to bring claims for damages and receive a percentage of any recovered funds or penalties.

There are various kinds of Qui Tam lawsuits that have been successfully litigated:

  • Health care fraud involving overbilling, risk adjustment, and unperformed services
  • Defense contractor fraud originating from cross charging, product substitution, and misallocation of costs
  • Municipal fraud arising from construction projects, financing transactions, and yield burning

We understand that many honest individuals may have reservations about reporting fraud for fear of losing their jobs. But rest assured that regardless of government intervention, the Federal False Claims Act shields the Relator from retaliation. It is illegal for an employer to harass, demote, withhold wages, fire, or retaliate in any way against a Relator who has chosen to speak to report suspected fraud. However, before you report fraud within your company, you should consult an attorney to ensure that you are fully protected.

Employers who have engaged in the following conduct may be acting in violation of the Federal False Claims Act:

  • Submitting false statements in a government loan application
  • Medicaid or Medicare Fraud
  • Over-billing the government
  • Bid Fixing
  • Stealing from employee pension funds
  • Insurance Fraud
  • Under-reporting corporate income

In addition, tax fraud may be reportable as well. At least $400 billion dollars never makes its way into the U.S. Treasury each year because of tax evasion and tax fraud.

Tax fraud is often deeply hidden in illegal tax shelters and intricate, ever-changing schemes – offshore accounts, false tax minimization and money transfer manipulation – that can be difficult and time consuming for the IRS to trace. In 2010, the IRS reported spending over $13 billion to hunt down tax criminals. Inside information from whistleblowers can be incredibly helpful. The IRS estimates that a tax fraud investigation using accurate whistleblower information is 60% less expensive than an investigation without inside information. For this reason, the IRS is eager to work with whistleblowers seeking to expose tax cheats. And a successful investigation can earn the whistleblower as much as 30 % of the IRS’s recovery.

False Claim and Qui Tam laws are complicated. For that reason, it is wise to have a law firm and attorneys experienced in these matters on your side.

Sommers Schwartz is that law firm. We represent courageous people who blow the whistle on those that commit fraud against our government agencies, fraud that costs taxpayers substantial sums each year.

If you are in possession of first-hand knowledge of fraudulent bills, wrongfully obtained funds, or other illegal financial activity that results in a state or federal government paying money to someone or a business for something they never received, you may be eligible to file a false claim case.

Contact a Sommers Schwartz attorney today to confidentially discuss your case and learn how we can help.

A Trusted Authority

Our attorneys have been featured on local and national media outlets, including:


I wanted to thank you.

I wanted to thank you for your assistance in resolving the matter with my employer. You listened to my complaints, kept me involved, provided guidance and were diligent.

I want to express my sincere thanks to you.

I want to express my sincere thanks to you for getting justice for my son and restoring my hope in humanity. After his death, I labored for over one-and-a-half years to find an attorney to file the case. I am grateful to you and your firm for your unwavering belief in this case.

Should my son become half the lawyer as those I have met at your firm he will be successful.

My oldest son just passed the Colorado Bar. I firmly believe that should my son Chris become half the lawyer as those I have met at your firm he will be successful.

I couldn’t have asked for better representation and counsel.

Thank you to Tad for representing me on my severance agreement. The entire negotiation was handled efficiently and in an extremely professional manner. I also really appreciated that Tad was transparent about the process and timelines, as well as that he was willing to discuss strategy with me.

I wouldn’t recommend anyone else.

I worked closely with Matt Curtis on a medical malpractice case – he went to bat for me every step of the way. I wouldn’t recommend anyone else.

Bravo, Tucker!

I had a trial lawyer and judge in my office today and gave credit to you as the source of the information I provided them. They both recognized your excellence and authority and were duly impressed.

We are pleased!

We are pleased with the job that you have done for us, especially with respect to your thoroughness and professionalism! You both presented yourselves in a genuine and professional manner, and this is precisely why we retained you.

I greatly appreciate your assistance throughout this process.

I’m happy to put this case behind me once and for all. I greatly appreciate your assistance throughout this process. Thank you, Tad! I’m happily employed now and am enjoying a fresh start.

My sincere thanks for a great job!

My sincere thanks for a great job! I know a lot of attorneys wouldn’t have touched this case or handled it in such a professional manor. Once again, thank you!

Our Clients Say It Best

40 5-star reviews on Google