U.S. ex rel. Taylor v. Healthcare Associates of Texas

Under the qui tam provisions of the False Claims Act, private individuals with non-public knowledge of fraud against the federal government may file lawsuits on behalf of the government. Plaintiff Taylor filed suit under that Act, alleging that Healthcare Associates of Texas and related defendants (HCAT) employed fraudulent Medicare billing practices. In response, HCAT argued, among other things, that the qui tam provisions of the False Claims Act violate the Constitution. After a jury ruled in favor of Taylor and the the district court judge rejected HCAT’s arguments, HCAT appealed.

In the court of appeals, Public Citizen filed an amicus brief supporting the plaintiff. Our brief explains that HCAT’s arguments—that the False Claims Act’s qui tam provisions violate the Appointments Clause, are contrary to Article II’s vesting of “the executive Power” in the President, and prevent the President from fulfilling his constitutional obligation to “take Care that the Laws be faithfully executed”—are similarly unfounded.