The Law Office of Kurt H King

September 5, 2018

Reverse False Claims Act Case

Boise v. Cephalon

Courts have allowed individuals who were not a party to a CIA to file civil lawsuits for breach of Corporate Integrity Agreements.  These cases are known as “reverse False Claims Act” actions.  See Boise v. Cephalon, Case 2:08-CV-00287-TON (E.D.Pa. July 21, 2015 Memorandum and Order denying motion to dismiss, Judge O’Neill). 

In Boise, three former employees of Cephalon, a pharma company under a CIA, sued claiming the company breached its CIA by falsely certifying that it had ceased off-label promotion of its drugs.  The employees claimed off-label promotion continued on after Cephalon’s $425 million settlement with the government in 2008 for off-label promotion.  The court overruled Cephalon’s motion to dismiss, allowing the employees to proceed with their reverse FCA claims.

This case may give traction for plaintiffs claiming to be third-party beneficiaries of a Corporate Integrity Agreement or other contract.

Kurt H. King, Missouri Attorney

816.781.6000

20 E. Franklin, Liberty, Clay County, Missouri 64068

Retaliation & Discrimination, Litigation, General Matters

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