Q: How damages have to be claimed if reletant has to proceed. CFCA

A: Under the California False Claims Act (CFCA), if the government declines to intervene in a qui tam action (a case filed by a relator on behalf of the government), the relator may proceed with the case independently. In such a situation, the relator is still acting on behalf of the state of California, not Medicare, as the CFCA is a state law and not a federal law like the False Claims Act (FCA).

When the relator proceeds with the case, they must prove the damages caused by the defendant's fraudulent actions. Damages under the CFCA are calculated as follows:

1. Treble damages: The defendant is liable for three times the amount of damages that the state of California sustained because of the defendant's actions.

2. Civil penalties: The defendant is also liable for civil penalties of not less than $5,500 and not more than $11,000 for each false claim.

To claim damages, the relator must provide evidence of the fraud and the resulting damages to the state. This may include:

1. Documentation of the false claims submitted

2. Witness testimony

3. Expert testimony on the extent of the damages

If the relator successfully prosecutes the case, they are entitled to receive a portion of the damages recovered, typically between 25% and 50% of the total recovery.

It is important to note that while the relator is proceeding on behalf of the state of California under the CFCA, the fraudulent conduct may also violate federal laws like the FCA if the false claims were submitted to Medicare. In such cases, the relator may also have the option to file a separate qui tam action under the federal FCA.