Haynes and Boone Wins False Claims Act Case for L-3

08/28/2012



DALLAS - Haynes and Boone, LLP won a significant victory in a False Claims Act (FCA) case for client L-3 Communications Integrated, Systems L.P. The court dismissed the whistleblower’s complaint in its entirety and denied the whistleblower an opportunity to re-file.

“This is a terrific outcome for L-3,” said Sarah Teachout, the Haynes and Boone partner who led the L-3 defense team. “The court would not allow the whistleblower to seek millions of dollars in damages based on unsubstantiated allegations and conjecture.”

L-3 had contracted with the United States Air Force to retrofit Beechcraft twin-engine aircraft to assist troops in tracking insurgents in Afghanistan and Iraq. L-3’s performance was widely regarded as a phenomenal success. But David Phillips, a former L-3 employee, brought an FCA lawsuit against L-3 alleging the company had falsely certified to the government that the aircraft satisfied applicable safety standards.

Haynes and Boone argued that the complaint was meritless, implausible, and not properly pled. The district court agreed, holding that Phillips failed to state a claim under the FCA. The court similarly rejected the whistleblower’s conspiracy, retaliatory discharge and common law negligence claims.

The L-3 defense team includes Teachout, Partner Jeremy Kernodle, and associates Nicole Somerville and Matt McGee.

The case is styled United States ex rel. Phillips v. L-3 Communications Integrated, Systems L.P., 3:10-cv-01784, in the U.S. District Court for the Northern District of Texas. 
 



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