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Contract – False Claims Act – Student Loan Corporations – ‘Arm of the State’ Analysis (access required)

U.S. ex rel. Jon H. Oberg v. Kentucky Higher Educ. Student Loan Corp. A district court did not use the correct test when analyzing whether student loan corporations formed by four different states may be sued in a qui tam action alleging they defrauded the U.S. Department of Education; the 4th Circuit vacates a lower court’s dismissal of the suit on the ground that the corporations were “state agencies” not subject to suit under the False Claims Act, and remands for the district court to apply an “arm of the state” analysis.

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Administrative – Stark Law Violations – False Claims Act – Constitutional – Jury Trial – Hospital (access required)

U.S. ex rel. Michael K. Drakeford MD v. Tuomey Healthcare System Inc. A federal appeals court vacates a $45 million judgment against a Sumter, S.C., health care system for Stark Law violations and sends the case back, saying the district court’s handling of the case violated the defendant’s Seventh Amendment right to a jury.

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Labor & Employment – Whistleblower Claim – False Claims Act – Prescription Records – Disciplinary Action (access required)

Clinkscales v. Walgreen Co. Plaintiff’s emailed questions about how to perform a bin reconciliation did not make him a whistleblower under the False Claims Act. In any event, the defendant-employer issued the written warnings at issue because of plaintiff’s violations of unrelated work rules. Defendant’s motion for summary judgment is granted as to plaintiff’s federal-law claims.

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