Home > Pressroom > News > Hall weighs in on impact of Escobar decision

Hall weighs in on impact of Escobar decision

Attys Dish On Escobar's FCA Impact One Year Later

Chris Hall, partner and chair of Saul Ewing’s White Collar Practice, is quoted in this article in Law 360 on the impact of the Supreme Court’s decision in Universal Health Services v. Escobar. The article explains that the decision has been reshaping False Claims Act litigation and has created a new approach to “implied certification" cases involving undisclosed noncompliance.

With respect to the impact of the decision Chris said, "Escobar set a demanding materiality standard in False Claims Act (FCA) cases that shifted the focus to whether noncompliance with a statute, regulation or contract influenced the government’s payment decision. The Escobar standard requires a fact-intensive analysis that has caused lower courts to arrive at differing conclusions based on individual circumstances. For instance, despite Escobar’s holding that express conditions of payment are not dispositive, courts have allowed FCA claims to proceed over unreasonable contract costs and over promotion of off-label prescriptions. And Escobar left unanswered whether merely seeking payment without making specific representations about the provided goods and services violates the FCA."

To read the full article, click here.