2 FCA Settlements Highlight Gov’t Cyber Liability Focus

2 FCA Settlements Highlight Gov’t Cyber Liability Focus


By Danny Ashby, Amanda Santella, and John Dermody (May 31, 2022, 6:15 PM EDT) – Amid a whirlwind of high-profile cyber incidents and government warnings about cyber threats to critical infrastructure, two recent agreements of the Cybersecurity False Claims Act points to a new potential cyber liability front for companies doing business with the government.

On March 8, the U.S. Department of Justice reached a $ 930,000 agreement with Comprehensive Health Services LLC to falsely certify that it had properly protected medical records related to Department of State and U.S. Department of Defense contracts. .

And on April 27, Aerojet Rocketdyne Holdings Inc. reached an agreement with the FCA rapporteur, Brian Markus, who alleged that Aerojet lied to …

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