The False Claims Act provides for a civil penalty for each violation of the law. The statute says that someone who violates the False Claims Act “is liable to the United States Government for a civil penalty of not less than $5,000 and not more than $10,000, . . . plus 3 times the amount of damages.”
Whistleblowers and even other lawyers mistakenly think that False Claims Act penalties are limited to $10,000. Often this leads them to ignore the possibility of penalties when valuing a case. But in reality the government updates the penalty amounts for inflaion each year. In 2020, penalties can range as high as $23,330.
Penalties are a possibility in every False Claims Act case. But they are rarely included as part of a settlement. Thus, it is important to consider the possibi
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