Key Priorities for Enforcing the False Claims Act at the Qui Tam Conference
At the Federal Bar Association's Qui Tam Conference on February 19th, Brenna Jenny, Deputy Assistant Attorney General for the Commercial Litigation Branch at the U.S. Department of Justice, outlined key priorities for enforcing the False Claims Act (FCA). Her speech provided insights into how the DOJ identifies and resolves cases, along with the conditions for case dismissal.
Jenny emphasized that most FCA settlements occur within the healthcare industry, with particular attention given to certain healthcare areas by the DOJ. Additionally, while prioritizing Diversity, Equity, and Inclusion (DEI) initiatives, the department's scrutiny extends to broader government contracting practices, focusing on compliance with anti-discrimination laws based on characteristics such as race and sex.
Importers might face increased FCA scrutiny related to misclassification, undervaluation to reduce duties, and misrepresentation of product origins to bypass tariffs. Jenny reported a 50% rise in trade and customs-related FCA cases in 2025, compared to previous five-year averages. The DOJ employs data mining to safeguard public interests, particularly regarding opioids, patient safety, kickbacks, and prescription practices.
When deciding on allowing qui tam cases to proceed, the DOJ assesses whether litigation aligns with U.S. interests. It can dismiss cases under statutory authority, 31 U.S.C. § 3730(c)(2)(A), if found baseless or not aligned with legal standards, especially without agency support. Jenny noted that the DOJ used this authority to dismiss 25 qui tam cases in 2025, suggesting potential increases in future dismissals.
Persuasive arguments in FCA resolution include robust enforcement policies across healthcare, federal discrimination issues, trade concerns, and scenarios impacting public safety or taxpayer funds. Jenny reinforced the DOJ's commitment to these priorities, anticipating enhanced implementation under current administrative directives. The DOJ is expected to continue refining its FCA enforcement approach as guidelines evolve.