Common use of Civil False Claims Act Violation and Criminal Violations Clause in Contracts

Civil False Claims Act Violation and Criminal Violations. The False Claims Act, 31 U.S.C. §§ 3729-3733, provides that one who knowingly submits, or causes another person or entity to submit, false claims for payment of government funds is liable for three times the government’s damages plus civil penalties of $11,181 to $22,363 per false claim (note that the civil penalty amounts are subject to an inflation adjustment; these were the amounts for calendar year 2018). Various federal criminal provisions authorize imposition of criminal penalties, including fines and imprisonment, against individuals who, with respect to Government or health care benefit programs, engage in conduct including, but not limited to, falsifying or concealing a material fact or making materially false, fictitious, or fraudulent statement.