United States Ex Rel. Anthony v. Burke Engineering Co.

ORDER ON SUBJECT MATTER JURISDICTION

The Court holds, on apparent first impression, “the same transaction or occurrence” jurisdiction requirement of the federal False Claims Act ( 31 U.S.C. § 3732 (b)) is broad enough to include a system or scheme of false claims.

I. BACKGROUND

Plaintiff is a former employee of Defendant Burke Engineering Co., a California corporation that sells heating, air conditioning, and refrigeration controls to government entities and other purchasers. Plaintiff contends since 1993 Burke Engineering has sold various items to government employees for their personal use, but has improperly-claimed payment for the items from government entities. After Burke Engineering fired Plaintiff, he brought this lawsuit for damages and civil penalties under the federal and California False Claims Acts and the Nevada equivalent (“the Acts”).

Plaintiff alleges three counts of substantive violations of the Acts (31 'U.S.C. § 3729, Cal. Gov’t Code § 12651, Nev.Rev. Stat. 357 .040) and threé counts of conspiracy to violate the Acts ( 31 U.S.C. § 3729 (a)(3), Cal. Gov’t Code § 12651(a)(3), Nev.Rev.Stat. 357.040(c)). Plaintiff also brings three counts of employment…