State Qui Tam Laws

Close to half of the states have enacted Qui Tam laws modeled on the federal False Claims Act to combat fraud against state and local governments. The federal Deficit Reduction Act of 2005 provides financial incentives to states that enact or strengthen legislation with Qui Tam provisions patterned after the federal Act. Those states may claim additional proceeds in a Medicaid fraud recovery. Approximately 24 states and the District of Columbia now have some sort of state Qui Tam legislation. In some states, the laws pertain only to Medicaid fraud: Arkansas, Georgia, Louisiana, Michigan, Missouri, New Hampshire, Texas and Wisconsin. The False Claims Acts in other states are directed at a wider range of fraudulent practices: California, Delaware, Florida, Hawaii, Illinois, Indiana, Massachusetts, Montana, Nevada, New Jersey, New Mexico, New York, Oklahoma, Rhode Island, Tennessee, Virginia and the District of Columbia. In two states, the state may elect to reward whistleblowers who provide evidence of fraud against the government, but a private individual is not permitted to file a Qui Tam action on the government’s behalf: Arkansas and Missouri.