Simpson Law Firm Announces Landmark $145 Million Settlement with Life Care Centers of America

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Largest Nursing Home Qui Tam Settlement in DOJ History

The United States Department of Justice, in coordination with Simpson Law Firm, LLC, an Atlanta-area law firm specializing in the nationwide representation of whistleblowers in qui tam lawsuits under the False Claims Act, has reached the largest settlement with a skilled nursing chain facility in the department’s history.

Life Care Centers of America and its owner, Forrest L. Preston, have agreed to pay $145 million to resolve two lawsuits alleging that Life Care knowingly submitted false claims to Medicare and Tricare for therapy that was not reasonable or necessary, in violation of the False Claims Act. Principal Deputy Attorney General Benjamin C. Mizer, head of the Justice Department’s Civil Division announced: “This resolution is the largest settlement with a skilled nursing facility chain in the department’s history.” (https://www.justice.gov/opa/pr/life-care-centers-america-inc-agrees-pay-145-million-resolve-false-claims-act-allegations)

G. Mark Simpson of Simpson Law Firm, LLC, along with Michael Sullivan of Finch McCranie LLP, represented Ms. Glenda Martin, a former Life Care employee, who filed her lawsuit in 2008.    

“Glenda Martin, a courageous Life Care nurse, is owed a debt of gratitude for bringing this action and persevering for eight years,” said Mark Simpson. “The Department of Justice and the United States Attorneys’ Office for the Eastern District of Tennessee assembled a tremendous team of litigators from across the county, and tenaciously prosecuted this case against vigorous opposition from Life Care.”

The settlement resolves allegations brought in two separate lawsuits filed by Ms. Martin and Tammie Taylor, former Life Care employees. The United States intervened in the two lawsuits, which were consolidated in federal court in Chattanooga. The two qui tam cases are docketed as United States ex rel. Martin v. Life Care Centers of America, Inc., No. 1:08-cv-251 (E.D. Tenn), and United States ex rel. Taylor v. Life Care Centers of America, Inc., No. 1:12-cv-64 (E.D. Tenn). The claims resolved by the settlement are allegations only, and there has been no determination of liability. The whistleblower reward to Ms. Martin and Ms. Taylor is $29 million dollars.

G. Mark Simpson has represented whistleblowers in qui tam cases for the past 15 years. Simpson Law Firm, LLC currently represents whistleblowers in numerous sealed and unsealed cases throughout the United States.

For inquiries please contact:

G. Mark Simpson
Simpson Law Firm, LLC
110 Habersham Drive, Suite 108
Fayetteville, GA 30214
(770) 371-5008
(678) 302-8721 (fax)
mark(at)marksimpsonlaw.com
http://www.marksimpsonlaw.com

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