This story was updated at 4:45 p.m. EST.
The U.S. Supreme Court on Tuesday handed a big win to whistleblowers, ruling that a violation of the federal False Claims Act's secrecy requirement doesn't automatically mean a complaint should be dismissed.
The unanimous ruling, delivered by Justice Anthony Kennedy, upheld a decision by the U.S. Court of Appeals for the Fifth Circuit. The appeals court in 2015 refused to dismiss a whistleblower complaint that alleged State Farm Fire & Casualty Co. bilked the U.S. government over the way the company processed insurance claims after Hurricane Katrina.
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Mike Scarcella
Mike Scarcella is a senior editor in Washington on ALM Media's regulatory desk. Contact him at [email protected]. On Twitter: @MikeScarcella. Mike works on a slate of newsletters: Supreme Court Brief | Higher Law | Compliance Hot Spots | Labor of Law.
