United States of America, Ex Rel. Jason R. Madden v. General Dynamics Corporation, a Delaware Corporation

This action was brought by present and former employees of General Dynamics (“Re-lators”) under the qui tam provisions of the False Claims Act (“FCA”), 31 U.S.C. §§ 3729-3732 . General Dynamics Corporation (“General Dynamics”) challenges the district court’s denial of its motion to dismiss under Rule 12(b)(1) of the Federal Rules of Civil Procedure. Three issues have been certified for appeal. The first is whether the qui tam provisions of the FCA violate the separation of powers doctrine and the Appointments Clause of the United States Constitution. The second issue is whether qui tam relators have standing under Article III of the Constitution and the third, whether the district court erred in dismissing General Dynamics’ counterclaims. The district court had jurisdiction of this action pursuant to 28 U.S.C. § 1331 and the FCA. This court has jurisdiction pursuant to 28 U.S.C. § 1292 (b).

FACTUAL BACKGROUND

On September 2, 1988, the Relators brought this action on behalf of the United States Government under the qui tam provisions of the FCA. In their complaint the Relators alleged that General Dynamics made misrepresentations to the United States Navy concerning the testing…