Nevada False Claims Act - Jeff Newman Law

Nevada False Claims Act allows whistleblowers to report fraud and receive 15-30% of the proceeds in a successful qui tam action

A private person can bring an action for a violation of the State’s False Claims Act on behalf of the State, a political subdivision, or both. This action is known as a qui tam action. In the event of a successful qui tam action, the whistleblower is entitled to 15% – 30% of the proceeds of the action or settlement of the claim, in addition to an amount for reasonable expenses, attorney fees, and costs of the case.

Under this statute, the whistleblower is protected against retaliation for reporting fraud and engaging in protected activity.

The Nevada False Claims Act—Nev. Rev. Stat. §§ 357.010 – 357.250—imposes liability on a person who, with or without specific intent to defraud, does any of the following listed acts:

  1. Knowingly presents or causes to be presented a false or fraudulent claim for payment or approval.
  2. Knowingly makes or uses, or causes to be made or used, a false record or statement that is material to a false or fraudulent claim.
  3. Has possession, custody or control of public property or money used or to be used by the State or a political subdivision and knowingly delivers or causes to be delivered to the State or a political subdivision less money or property than the amount of which the person has possession, custody or control.
  4. Is authorized to prepare or deliver a document that certifies receipt of money or property used or to be used by the State or a political subdivision and knowingly prepares or delivers such a document without knowing that the information on the document is true.
  5. Knowingly buys, or receives as a pledge or security for an obligation or debt, public property from a person who is not authorized to sell or pledge the property.
  6. Knowingly makes or uses, or causes to be made or used, a false record or statement that is material to an obligation to pay or transmit money or property to the State or a political subdivision.
  7. Knowingly conceals or knowingly and improperly avoids or decreases an obligation to pay or transmit money or property to the State or a political subdivision.
  8. Is a beneficiary of an inadvertent submission of a false claim and, after discovering the falsity of the claim, fails to disclose the falsity to the State or political subdivision within a reasonable time.
  9. Conspires to commit any of the acts set forth in this subsection.

Violators are liable to the state or political subdivision for a civil penalty of $5,500-$11,000 for each act, plus 3 times the amount of damages sustained by the State or political subdivision, because of the act of the person.

Click here for more state whistleblower laws.