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Riley v. St. Luke’s Episcopal Hospital
United States Court of Appeals for the Fifth Circuit
252 F.3d 749 (2001) (en banc)
Joyce Riley (plaintiff) was a nurse who brought a qui tam action under the False Claims Act (FCA) against her former employer, St. Luke’s Episcopal Hospital, affiliated medical providers, and a medical school (defendants) alleging they filed false Medicare and Civilian Health and Medical Program of the Uniformed Services (CHAMPUS) claims for services that were either unnecessary or not provided by a licensed physician. The government declined to intervene in the lawsuit. The district court dismissed on the ground that Riley lacked standing, and Riley appealed. The Fifth Circuit found Riley had standing but held that if the government does not intervene in a qui tam action under the False Claims Act, the action violates separation of powers under the Take Care Clause of the U.S. Constitution. At that point, the government intervened in the lawsuit to defend the FCA qui tam provisions as constitutional. The Fifth Circuit reheard the issue en banc.
Rule of Law
Holding and Reasoning (Stewart, J.)
Dissent (Smith, J.)
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