United States Ex Rel. Folliard v. Government Acquisitions, Inc.
858 F. Supp. 2d 79
D.D.C.2012Background
- Folliard, a relator, brings a qui tam FCA action against GAI and Govplace for listing and selling products under GSA Schedules in violation of the TAA.
- The court previously dismissed some defendants, but denied dismissal as to GAI and Govplace and severed their cases for management purposes.
- Folliard asserts four FCA theories (pre- and post-FERA presentment, pre- and post-FERA false statements) tied to both listings and sales.
- The FCA requires a false claim for payment; mere listings without proof of actual government purchases may not suffice.
- The court grants partial summary judgment on improper listings unconnected to alleged sales; remaining improper-sales claims require amendments and further briefing.
- Current discovery motions are dismissed without prejudice pending amended opposition/replies and potential renewed summary judgment rulings.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Does listing products for sale alone violate the FCA without proven sale? | Folliard argues false listings produce false claims to obtain payment. | GAI/Govplace contend no FCA liability without a corresponding false claim of payment tied to sale. | Partial summary judgment for listings not connected to sales. |
| Are allegations of improper sales sufficient to sustain FCA claims after partial listing ruling? | Sales allegations remain viable FCA claims. | Sales-based claims require more precise proof and discovery. | Remaining sales allegations may proceed after amendment and further briefing. |
| How should discovery timing affect summary judgment strategy in this case? | Discovery should inform opposition to summary judgment. | Store of discovery should be limited; premature to grant broad discovery. | Court clarifies need for concrete, limited discovery and allows amendments; discovery motions dismissed without prejudice. |
Key Cases Cited
- United States ex rel. Totten v. Bombardier Corp., 286 F.3d 542 (D.C. Cir. 2002) (false claims attach to payment, not underlying activity)
- United States ex rel. Folliard v. CDW Tech. Servs., Inc., 722 F. Supp. 2d 20 (D.D.C. 2010) (listing for sale alone not enough without planned false claim)
- United States ex rel. Folliard v. Hewlett-Packard Co., 272 F.R.D. 31 (D.D.C. 2010) (needs allegations of a false claim connected to specific purchases)
- United States v. Dell Mktg. L.P., 711 F. Supp. 2d 157 (D. Mass. 2010) (lack of improper claims where only listings alleged)
- Anderson v. Liberty Lobby, Inc., 477 U.S. 242 (Supreme Court 1986) (summary-judgment standard: no genuine issue of material fact)
- Celotex Corp. v. Catrett, 477 U.S. 317 (Supreme Court 1986) (Rule 56 burden and permissible inferences)