If I inform on my employer, am I entitled to a reward?
The journey of a whistleblower is almost always long and difficult. As an incentive to come forward, the False Claims Act offers financial rewards for successful cases. Thus, if a whistleblower files a qui tam case, and the Government intervenes in that case, the whistleblowers may recover “at least 15 percent but not more than 25 percent” of the proceeds of the action under 31 U.S.C. § 3730(d). This means the whistleblower gets a portion of the Government’s recovery as a reward for blowing the whistle. Often times, this reward can be millions of dollars, depending on the size of the fraud.
If the Government does not intervene, and the whistleblower elects to continue the case on his or her own, the whistleblower may receive a larger reward - between 25 percent and 30 percent of the recovery. This is because the whistleblower and his or her lawyers do more work in a non-intervened case than in an intervened case.
Keep in mind that whistleblower awards are far from certain. Less than 25% of False Claims Act cases result in a recovery for the Government (and a resulting whistleblower award). Before filing any claim, a potential whistleblower should consult with a lawyer who is knowledgeable about False Claims Act cases and carefully consider the pros and cons of bringing the case.
Please Note: McCabe Rabin, P.A. provides these FAQ’s for informational purposes only, and you should not interpret this information as legal advice. If you want advice as to how the law might apply to the specific facts and circumstances of your case, please contact one of our attorneys.