Qui Tam is writ in which an individual sues on behalf of the country and on behalf of themselves. The individual who initiates a Qui tam lawsuit is known as a realtor and is liable to get 15% and not more than 25% of the settlement or proceeds that arise from the case. The relator is only entitled to a 30% settlement if the government does not pursue the case and leaves it to the relator to pursue the case. A qui tam relator is also entitled for compensation from the defendant for all the legal fees incurred during the case
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A Qui tam relator needs to prove the following elements in the FCA claim: the defendant must present a “claim” to the government or cause a third party to submit a claim; the claim must be made “knowingly.”; the claim must be “false” or “fraudulent”; according to some courts, the claim must be material; the defendant’s action must have resulted in loss to the goverment and finally, according to some courts, the claim must have resulted in damage to the federal government (Pacini &Hood, 2007).
Pacini, C., & Hood M.B. (2007). The role of qui tam actions under the false claims act in preventing and deterring fraud against government. University of Miami Business Law Review, 15 (273), 1-25