Multi-Office Team Forces U.S. Department Of Justice To Dismiss Billion-Dollar False Claims Act Case
A multi-office team of Reed Smith litigators and health care regulatory lawyers has forced the U.S. Department of Justice (DOJ) to dismiss a billion-dollar False Claims Act (FCA) lawsuit against our long-time client HCR ManorCare. After six years of investigation while three consolidated cases remained under seal, DOJ intervened and filed its own complaint in early 2015, alleging that HCR ManorCare, the industry leader in post-acute rehabilitation care, had delivered unnecessary therapy to patients covered under Medicare Part A in its skilled nursing facilities. DOJ’s theory was consistent with an industry-wide series of cases against other skilled nursing facility providers. HCR ManorCare was determined to fight, certain that the allegations were not true.