Alabama False Claims Act and Whistleblower Laws

Alabama False Claims Act

Alabama does not have a state False Claims Act. State Senator Arthur Orr introduced legislation into the Alabama State Senate in 2013 to authorize qui tam relators to act on behalf of the state. However, the whistleblower law has not yet been adopted.

An AL whistleblower with evidence of health care fraud in Medicare or Medicaid may file a Federal False Claims Act lawsuit and seek recovery of the federal portion of government spending. The federal law permits rewards of between 15 and 30 percent of the recovery.

In April 2016, Alabama Attorney General Luther Strange wrote an op-ed arguing for the adoption of the law, under consideration as Senate Bill 216, titled then as the proposed Alabama Medicaid False Claims Act. The article noted that Georgia, Florida, Tennessee and Louisiana have all adopted one in the fight against Medicaid fraud.

Alabama does permit the state to bring criminal sanctions against persons who submit false Medicaid claims, but there is no provision for whistleblower rewards as part of this law. There was legislation under consideration in 2016 to extend the statute of limitations period for prosecution of these cases from three years to six years.

Alabama Whistleblower Laws

State employees may be protected for whistleblowing under the State Employment Protection Act, §36-26A-1 et. seq.

Alabama has not enacted broad protections against retaliations against whistleblowers employed by businesses. Alabama does have a law under its workers’ compensation statute protecting employees from termination after filing a written notice of the violation of a safety rule.

Alabama employees are also protected by a variety of federal whistleblower laws and programs which entitle them to compensation for retaliation and rewards for information that results in the successful recovery of monetary sanctions.

Special Disclaimers

Whistleblower laws are complex and contain many terms and conditions. These summaries are intended to be brief introductions to the law and not a detailed coverage of the intricacies of the law. For additional information about one of these laws, please contact our whistleblower lawyers at 1-800-590-4116.

Note: McEldrew Young Purtell Merritt attorneys represent whistleblowers under federal whistleblower reward programs established at the Justice Department, SEC, CFTC, IRS, NHTSA and other federal agencies. We selectively handle client cases involving state law retaliation issues where there is a corresponding claim for a federal or state reward. In certain states, we may do so through association with an employment lawyer licensed in the state where these acts happened because our lawyers are not barred in every state. We generally do not represent public sector (state employee) whistleblowers.

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