Lexology October 16, 2023
Healthcare providers enrolled in Medicare and Medicaid should take note of the recent U.S. Supreme Court decision concerning the intent requirement of the False Claims Act (FCA).[1] The FCA imposes liability on anyone who “knowingly” submits a false claim to the federal government.[2] The Supreme Court’s decision in United States ex rel. Schutte v. SuperValu Inc., issued on June 1, 2023, clarifies the meaning of the term “knowingly” in the context of the FCA.[3] The Court held that “knowingly” is a subjective standard based on actual knowledge rather than an objective reasonableness standard.[4] Providers should understand the meaning of this decision and the implications for their practices.
Background
The FCA was originally enacted in 1863 to stop government contractor fraud...