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The government has a legal obligation to reward whistleblowers

Qui tam lawsuits are a legal protection for employees who have revealed violations of the law. This type of lawsuit has two main benefits: it protects employees who are willing to speak up and reveal violations of the law, and it provides compensation for the employee. Read on to learn more about the rewards and damages of this lawsuit type. Weighing the benefits and risks of filing a Qui tam lawsuit, it is clear why whistleblowers are rewarded for coming forward and exposing wrongdoing in the workplace.

Qui tam lawsuits protect employees who expose violations of the law

A qui tam lawsuit is a kind of lawsuit that rewards an employee who reveals a violation of the law. In essence, it protects an employee who is willing to come forward and reveal a violation to get rewarded. Qui tam lawsuits can affect an employee’s personal security and employment. The types of cases that can qualify for qui tam lawsuits include Medicare and Medicaid fraud, defense contractor fraud, and the promotion of drugs for uses not approved by the FDA. In 2013, qui tam lawsuits recovered more than 3.8 billion dollars.

A qui tam lawsuit may also include a False Claims Act claim. This law protects employees who expose violations of the law while working for a private company. Under the False Claims Act, companies that submit false claims to the government are liable for any money paid to the employee. If the employee reveals fraud to the government, they may be able to recover a portion of the money through a qui tam lawsuit. A qui tam action also protects the employee’s identity and gives the Department of Justice time to investigate the case.


A whistleblower who discloses fraud against the government is entitled to damages of between 15% and 30% of the collection. The government determines this figure on a sliding scale, which varies depending on the nature and importance of the information. Damages are often recovered in a trial, but there are also settlements available. Whistleblower lawsuits may also include a bounty, which is a percentage of the total recovery that is paid to the whistleblower.

Whistleblowers may be entitled to compensation for lost wages and benefits, as well as compensatory damages. These include money for emotional distress and pain, as well as for humiliation. They can also seek reimbursement for litigation costs and attorney’s fees, among other things. Under the False Claims Act, an individual may sue for damages on behalf of the government and receive a percentage of the compensation awarded.


The reward is in the form of monetary compensation, which can be as high as 30% of a recovery. This type of reward is often awarded in False Claims Act or Qui Tam lawsuits. The federal government shares the proceeds of the investigation with the whistleblower. The reward is meant to encourage the whistleblower to report other cases of fraud and unethical conduct.

CFTC and SEC have developed award programs to reward whistleblowers. These Whistleblower lawsuits award programs reward qualified whistleblowers who report securities and commodity fraud. These awards typically range from 10 to 30% of the money recovered by the government. Examples of fraud include insider trading, spoofing, false reporting, and more. For those who are eligible to receive the reward, the rewards are significant. However, if you don’t believe that you’re eligible for a reward, you should consult an attorney before filing a lawsuit.