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On December 1, 2016, Parker Hannifin Corporation and CLARCOR Inc. announced that the companies have entered into a definitive agreement under which Parker will acquire CLARCOR for approximately $4.3 billion in cash, including the assumption of net debt. The transaction has been unanimously approved by the board of directors of each company. Upon closing of the transaction, expected to be completed by or during the first quarter of Parker’s fiscal year 2018, CLARCOR will be combined with Parker’s Filtration Group to form a leading and diverse global filtration business. Bass, Berry & Sims has served CLARCOR as primary corporate and securities counsel for 10 years and served as lead counsel on this transaction. Read more here.

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A resource for employers featuring original and insightful commentary and review on important articles, cases and laws that affect the complicated and constantly changing labor industry or workplace.

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FCA Deeper Dive: Worthless Services as a Theory of Falsity

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March 17, 2016

The FCA continues to be the federal government's primary civil enforcement tool for investigating allegations that healthcare providers or government contractors defrauded the federal government. In the coming weeks, we will take a closer look at recent legal developments involving the FCA. This week, we examine recent court decisions considering relators' efforts to plead and prove falsity under the FCA by relying on a worthless services theory of liability.

The Seventh Circuit's decision in U.S. ex rel. Absher v. Momence Meadows Nursing Center, Inc., 764 F.3d 699 (7th Cir. 2014), casts significant doubt on the "worthless services" theory of FCA liability. Following the Seventh Circuit's ruling in Momence, courts have reaffirmed the high hurdle that relators must surmount in order to plead a "worthless services" claim under the FCA.

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Bass, Berry & Sims' Inside the FCA blog features news, commentary and thought leadership covering FCA, healthcare fraud and procurement fraud.

 

 


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