Most qui tam actions are brought by employees of a company that has defrauded the government. Many employees who know of fraud committed by their employers are reluctant to come forward with information about that fraud, for fear of the possible actions an employer might take in retaliation. Fortunately for them, federal law contains protections for employees who report fraud on the part of their employers. An experienced qui tam litigation attorney can advise you regarding your rights and protections.

Whistleblower Protection

One reason the law requires complaints in qui tam actions to be filed under seal is to protect the identity of the person who brings the complaint. The person's identity will remain secret as long as the case is under seal.

A whistleblower's identity probably will not remain a secret forever. Employers may deduce the identity of the whistleblower from the questions asked during the investigation, or from the subject of the investigation. If the employee tried to resolve the fraud by internal means within the company, he or she might be identified as the source of the investigation. Furthermore, if the qui tam action is pursued beyond the investigation stage to litigation, the complaint will be unsealed, and the identity of the person making the complaint will be revealed.

When a whistleblower's identity is revealed, it is not unusual for the whistleblower to be harassed or ostracized by management and by fellow employees. Even sympathetic co-workers are often reluctant to associate with someone who has fallen so far out of favor with management. Many whistleblowers have also found themselves demoted, denied promotions or pay raises, suspended, or even fired.

Federal law prohibits employers from taking any action against employees in retaliation for filing a suit under the False Claims Act. "Any action" means demoting, suspending, terminating, or "in any other manner discriminat[ing] against [the employee] in the terms and conditions of employment . . . ."

In order to make a case that an employee was the subject of retaliation for being a whistleblower, the employee needs to show the following facts:

1. He or she was engaged in activity protected by the False Claims Act, in pursuing a qui tam suit;
2. The employer knew about the employee's qui tam action; and
3. The employer retaliated against the employee because of that action.

An employee who was terminated or otherwise mistreated for filing a qui tam lawsuit is entitled to reinstatement in his or her former position at the same seniority level as if he or she had never left the company. In addition, the employee may receive two times the amount of back pay he or she would have received plus interest, and compensation for any "special damages" sustained as a result of the discrimination. The term "special damages" includes the costs and expenses of bringing a lawsuit, such as court costs and attorneys' fees.

Conclusion

The law protects those employees who expose fraudulent activity of their employers. If you need the protection of the whistleblower laws, you also need quality legal assistance. An experienced qui tam litigation attorney will give you the quality legal assistance you need to protect your rights.

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