No.
98-1828
SUPREME
COURT OF THE UNITED STATES
529
U.S. #765; 120 S. Ct. ##1858
November
29, 1999, Argued
May 22, 2000, Decided
PRIOR HISTORY: ON WRIT OF
CERTIORARI TO THE UNITED STATES COURT OF
APPEALS FOR THE SECOND CIRCUIT.
DISPOSITION: 162 F.3d
195, reversed.
COUNSEL:
J. Wallace Malley, Jr. argued the cause
for petitioner.
Edwin S. Kneedler argued the cause for the
United States.
Theodore B. Olson argued the cause for
respondent Jonathan Stevens.
JUDGES: SCALIA, J.,
delivered the opinion of the Court, in
which REHNQUIST, C. J., and O'CONNOR,
KENNEDY, THOMAS, and BREYER, JJ., joined.
BREYER, J., filed a concurring statement.
GINSBURG, J., filed an opinion concurring
in the judgment, in which BREYER, J.,
joined. STEVENS, J., filed a dissenting
opinion, in which SOUTER, J., joined.
OPINION: JUSTICE
SCALIA delivered the opinion of the
Court. [#768]
[##1860]
This case presents the question whether a
private individual may bring suit in
federal court on behalf of the United
States against a State (or state agency)
under the False Claims Act, 31 U.S.C. §§
3729-3733.
I
Originally
enacted in 1863, the False Claims Act (FCA)
is the most frequently used of a handful
of extant laws creating a form of civil
action known as qui tam. n1
As amended, the [#769]
FCA imposes civil liability upon "any
person" who, inter alia,
"knowingly presents, or causes to be
presented, to an officer or employee of
the United States Government . . . a false
or fraudulent claim for payment or
approval." 31 U.S.C. § 3729 (a). The
defendant is liable for up to treble
damages and a civil penalty of up to $
10,000 per claim. Ibid. An FCA
action may be commenced in one of two
ways. First, the Government itself may
bring a civil action against the alleged
false claimant. § 3730(a). Second, as is
relevant here, a private person (the
"relator") may bring a qui
tam civil action "for the person
and for the United States Government"
against the alleged false claimant,
"in the name of the Government."
§ 3730(b)(1).
------------------------------------------
n1 Qui tam is short for the Latin
phrase qui tam pro domino rege quam
pro se ipso in hac parte sequitur,
which means "who pursues this action
on our Lord the King's behalf as well as
his own." The phrase dates from at
least the time of Blackstone. See 3 W.
Blackstone, Commentaries 160.
Three other qui tam statutes, all
also enacted over a hundred years ago,
remain on the books. See 25 U.S.C. § 81
(providing cause of action and share of
recovery against a person contracting with
Indians in an unlawful manner); § 201
(providing cause of action and share of
recovery against a person violating Indian
protection laws); 35 U.S.C. § 292(b)
(providing cause of action and share of
recovery against a person falsely marking
patented articles); cf. 18 U.S.C. § 962
(providing for forfeiture to informer of
share of vessels privately armed against
friendly nations, but not expressly
authorizing suit by informer); 46 U.S.C.
§ 723 (providing for forfeiture to
informer of share of vessels removing
undersea treasure from the Florida coast
to foreign nations, but not expressly
authorizing suit by informer).
------------------------------------------
[##1861]
If a relator initiates the FCA action, he
must deliver a copy of the complaint, and
any supporting evidence, to the
Government, § 3730(b)(2), which then has
60 days to intervene in the action, §§
3730(b)(2), (4). If it does so, it assumes
primary responsibility for prosecuting the
action, § 3730(c)(1), though the relator
may continue to participate in the
litigation and is entitled to a hearing
before voluntary dismissal and to a court
determination of reasonableness before
settlement, § 3730(c)(2). If the
Government declines to intervene within
the 60-day period, the relator has the
exclusive right to conduct the action, §
3730(b)(4), and the Government may
subsequently intervene only on a showing
of "good cause," § 3730(c)(3).
The relator receives a share of any
proceeds from the action -- generally
ranging from 15 [#770]
to 25 percent if the Government intervenes
(depending upon the relator's contribution
to the prosecution), and from 25 to 30
percent if it does not (depending upon the
court's assessment of what is reasonable)
-- plus attorney's fees and costs. §§
3730(d)(1)-(2).
Respondent Jonathan Stevens brought this qui
tam action in the United States
District Court for the District of Vermont
against petitioner Vermont Agency of
Natural Resources, his former employer,
alleging that it had submitted false
claims to the Environmental Protection
Agency (EPA) in connection with various
federal grant programs administered by the
EPA. Specifically, he claimed that
petitioner had overstated the amount of
time spent by its employees on the
federally funded projects, thereby
inducing the Government to disburse more
grant money than petitioner was entitled
to receive. The United States declined to
intervene in the action. Petitioner then
moved to dismiss, arguing that a State (or
state agency) is not a "person"
subject to liability under the FCA and
that a qui tam action in federal
court against a State is barred by the
Eleventh Amendment. The District Court
denied the motion in an unpublished order.
App. to Pet. for Cert. 86-87. Petitioner
then filed an interlocutory appeal, n2 and
the District Court stayed proceedings
pending its outcome. Respondent United
States intervened in the appeal in support
of respondent Stevens. A divided panel of
the Second Circuit affirmed, 162 F.3d 195
(1998), and we granted certiorari, 527
U.S. 1034 (1999).
------------------------------------------
n2 The denial of a motion to dismiss based
on a claim of Eleventh Amendment immunity
is immediately appealable. See Puerto
Rico Aqueduct and Sewer Authority v. Metcalf
& Eddy, Inc., 506 U.S. 139, 121
L. Ed. 2d 605, 113 S. Ct. 684 (1993). The
Second Circuit exercised pendent appellate
jurisdiction over the statutory question.
See Swint v. Chambers County
Comm'n, 514 U.S. 35, 50-51, 131 L.
Ed. 2d 60, 115 S. Ct. 1203 (1995).
------------------------------------------
[#771]
II
We
first address the jurisdictional question
whether respondent Stevens has standing
under Article III of the Constitution to
maintain this suit. See Steel Co.
v. Citizens for Better Environment, 523
U.S. 83, 93-102, 140 L. Ed. 2d 210, 118 S.
Ct. 1003 (1998).
As we have frequently explained, a
plaintiff must meet three requirements in
order to establish Article III standing.
See, e.g., Friends of Earth,
Inc. v. Laidlaw Environmental
Services (TOC), Inc., 528 U.S.___,___
(2000) (slip op., at 9). First, he must
demonstrate "injury in fact" --
a harm that is both "concrete"
and "actual or imminent, not
conjectural or hypothetical." Whitmore
v. Arkansas, 495 U.S. 149, 155,
109 L. Ed. 2d 135, 110 S. Ct. 1717 (1990)
(internal quotation marks and citation
omitted). Second, he must establish
causation -- a "fairly . . .
traceable" connection between the
alleged injury in fact and the alleged
conduct of the defendant. Simon
v. Eastern Ky. Welfare Rights
Organization, 426 U.S. 26, 41, 48 L.
Ed. 2d 450, 96 S. Ct. 1917 (1976). And
third, he must demonstrate redressability
-- a "substantial likelihood"
[##1862] that the requested
relief will remedy the alleged injury in
fact. Id., at 45. These
requirements together constitute the
"irreducible constitutional
minimum" of standing, Lujan
v. Defenders of Wildlife, 504
U.S. 555, 560, 119 L. Ed. 2d 351, 112 S.
Ct. 2130 (1992), which is an
"essential and unchanging part"
of Article III's case-or-controversy
requirement, ibid., and a key
factor in dividing the power of government
between the courts and the two political
branches, see 504 U.S. at 559-560.
Respondent Stevens contends that he is
suing to remedy an injury in fact suffered
by the United States. It is beyond doubt
that the complaint asserts an injury to
the United States -- both the injury to
its sovereignty arising from violation of
its laws (which suffices to support a
criminal lawsuit by the Government) and
the proprietary injury resulting from the
alleged fraud. But "the Art. III
judicial power exists only to redress or
otherwise to protect against injury to
the complaining party." Warth
v. Seldin, 422 U.S. 490, 499,
[#772] 45 L. Ed. 2d
343, 95 S. Ct. 2197 (1975) (emphasis
added); see also Sierra Club v. Morton,
405 U.S. 727, 734-735, 31 L. Ed. 2d 636,
92 S. Ct. 1361 (1972). It would perhaps
suffice to say that the relator here is
simply the statutorily designated agent of
the United States, in whose name
(as the statute provides, see 31 U.S.C. §
3730(b)) the suit is brought -- and that
the relator's bounty is simply the fee he
receives out of the United States'
recovery for filing and/or
prosecuting a successful action on behalf
of the Government. This analysis is
precluded, however, by the fact that the
statute gives the relator himself an
interest in the lawsuit, and not
merely the right to retain a fee out of
the recovery. Thus, it provides that
"[a] person may bring a civil action
for a violation of section 3729 for
the person and for the United States
Government," § 3730(b)
(emphasis added); gives the relator
"the right to continue as a party to
the action" even when the Government
itself has assumed "primary
responsibility" for prosecuting it,
§ 3730(c)(1); entitles the relator to a
hearing before the Government's voluntary
dismissal of the suit, §3730(c)(2)(A);
and prohibits the Government from settling
the suit over the relator's objection
without a judicial determination of
"fairness, adequacy and
reasonableness," §3730(c)(2)(B). For
the portion of the recovery retained by
the relator, therefore, some explanation
of standing other than agency for the
Government must be identified.
There is no doubt, of course, that as to
this portion of the recovery -- the bounty
he will receive if the suit is successful
-- a qui tam relator has a
"concrete private interest in the
outcome of [the] suit." Lujan,
supra, at 573. But the same might
be said of someone who has placed a wager
upon the outcome. An interest unrelated to
injury in fact is insufficient to give a
plaintiff standing. See Valley Forge
Christian College v. Americans
United for Separation of Church and State,
Inc., 454 U.S. 464, 486, 70 L. Ed. 2d
700, 102 S. Ct. 752 (1982); Sierra
Club, 405 U.S. at 734-735. The
interest must consist of obtaining
compensation for, or preventing, the
violation of a legally protected [#773]
right. See Lujan, 504 U.S. at
560-561. A qui tam relator has
suffered no such invasion -- indeed, the
"right" he seeks to vindicate
does not even fully materialize until the
litigation is completed and the relator
prevails. n3 This is not to suggest that
Congress cannot define new legal rights,
which in turn will confer standing to
vindicate an injury caused to the
claimant. See Warth, supra,
at 500. [##1863] As we have
held in another context, however, an
interest that is merely a
"byproduct" of the suit itself
cannot give rise to a cognizable injury in
fact for Article III standing purposes.
See Steel Co., supra, at
107 ("[A] plaintiff cannot achieve
standing to litigate a substantive issue
by bringing suit for the cost of bringing
suit"); see also Diamond v. Charles,
476 U.S. 54, 69-71, 90 L. Ed. 2d 48, 106
S. Ct. 1697 (1986) (holding that
assessment of attorney's fees against a
party does not confer standing to pursue
the action on appeal).
------------------------------------------
n3 Blackstone noted, with regard to
English qui tam actions, that
"no particular person, A or B, has
any right, claim or demand, in or upon
[the bounty], till after action
brought," and that the bounty
constituted an "inchoate imperfect
degree of property . . . [which] is not
consummated till judgment." 2 W.
Blackstone, Commentaries 437.
------------------------------------------
We believe, however, that adequate basis
for the relator's suit for his bounty is
to be found in the doctrine that the
assignee of a claim has standing to assert
the injury in fact suffered by the
assignor. The FCA can reasonably be
regarded as effecting a partial assignment
of the Government's damages claim. n4
Although we have never expressly
recognized "representational
standing" on the part of assignees,
we have routinely entertained their suits,
see, e.g., [#774]
Poller v. Columbia
Broadcasting System, Inc., 368 U.S.
464, 465, 7 L. Ed. 2d 458, 82 S. Ct. 486
(1962); Automatic Radio Mfg. Co.
v. Hazeltine Research, Inc., 339
U.S. 827, 829, 94 L. Ed. 1312, 70 S. Ct.
894 (1950); Hubbard v. Tod,
171 U.S. 474, 475, 43 L. Ed. 246, 19 S.
Ct. 14 (1898) -- and also suits by
subrogees, who have been described as
"equitable assignees," L.
Simpson, Law of Suretyship 205 (1950),
see, e.g., Vimar Seguros y
Reaseguros, S. A. v. M/V Sky
Reefer, 515 U.S. 528, 531, 132 L. Ed.
2d 462, 115 S. Ct. 2322 (1995); Musick,
Peeler & Garrett v. Employers
Ins. of Wausau, 508 U.S. 286, 288,
124 L. Ed. 2d 194, 113 S. Ct. 2085 (1993).
We conclude, therefore, that the United
States' injury in fact suffices to confer
standing on respondent Stevens.
------------------------------------------
n4 In addressing the Eleventh Amendment
issue that we leave open today, the
dissent suggests that we are asserting
that a qui tam relator "is,
in effect, suing as an assignee of the
United States." Post, at 14;
see also post, at 8-9 (same).
More precisely, we are asserting that a qui
tam relator is, in effect, suing as a
partial assignee of the United
States.
------------------------------------------
We are confirmed in this conclusion by the
long tradition of qui tam actions
in England and the American Colonies. That
history is particularly relevant to the
constitutional standing inquiry since, as
we have said elsewhere, Article III's
restriction of the judicial power to
"Cases" and
"Controversies" is properly
understood to mean "cases and
controversies of the sort traditionally
amenable to, and resolved by, the judicial
process." Steel Co., 523
U.S. at 102; see also Coleman v. Miller,
307 U.S. 433, 460, 83 L. Ed. 1385, 59 S.
Ct. 972 (1939) (opinion of Frankfurter,
J.) (the Constitution established that
"judicial power could come into play
only in matters that were the traditional
concern of the courts at Westminster and
only if they arose in ways that to the
expert feel of lawyers constituted 'Cases'
or 'Controversies'").
Qui tam actions appear to have
originated around the end of the 13th
century, when private individuals who had
suffered injury began bringing actions in
the royal courts on both their own and the
Crown's behalf. See, e.g., Prior
of Lewes v. De Holt (1300),
reprinted in 48 Selden Society 198 (1931).
Suit in this dual capacity was a device
for getting their private claims into the
respected royal courts, which generally
entertained only matters involving the
Crown's interests. See Milsom, Trespass
from Henry III to Edward III, Part III:
More Special Writs and Conclusions, [#775]
74 L. Q. Rev. 561, 585 (1958). Starting in
the 14th century, as the royal courts
began to extend jurisdiction to suits
involving wholly private wrongs, the
common-law qui tam
action gradually fell into disuse,
although it seems to have remained
technically available for several
centuries. See 2 W. Hawkins, Pleas of the
Crown 369 (8th ed. 1824).
[##1864]
At about the same time, however,
Parliament began enacting statutes that
explicitly provided for qui tam
suits. These were of two types: those that
allowed injured parties to sue in
vindication of their own interests (as
well as the Crown's), see, e.g.,
Statute Providing a Remedy for Him Who Is
Wrongfully Pursued in the Court of
Admiralty, 2 Hen. IV, ch. 11 (1400), and
-- more relevant here -- those that
allowed informers to obtain a portion of
the penalty as a bounty for their
information, even if they had not suffered
an injury themselves, see, e.g.,
Statute Prohibiting the Sale of Wares
After the Close of Fair, 5 Edw. III, ch. 5
(1331); see generally Common Informers
Act, 14 & 15 Geo. VI, ch. 39, sched.
(1951) (listing informer statutes). Most,
though not all, of the informer statutes
expressly gave the informer a cause of
action, typically by bill, plaint,
information, or action of debt. See, e.g.,
Bill for Leases of Hospitals, Colleges,
and Other Corporations, 33 Hen. VIII, ch.
27 (1541); Act to Avoid Horse-Stealing, 31
Eliz. I, ch. 12, § 2 (1589); Act to
Prevent the Over-Charge of the People by
Stewards of Court-Leets and Court-Barons,
2 Jac. I, ch. 5 (1604).
For obvious reasons, the informer statutes
were highly subject to abuse, see M.
Davies, The Enforcement of English
Apprenticeship 58-61 (1956) --
particularly those relating to obsolete
offenses, see generally 3 E. Coke,
Institutes of the Laws of England 191 (4th
ed. 1797) (informer prosecutions under
obsolete statutes had been used to
"vex and entangle the subject").
Thus, many of the old enactments were
repealed, see Act for Continuing and
Reviving of Divers Statutes and Repeal of
Divers Others, 21 Jac. I, ch. 28, § 11
[#776] (1623), and
statutes were passed deterring and
penalizing vexatious informers, limiting
the locations in which informer suits
could be brought, and subjecting such
suits to relatively short statutes of
limitation, see Act to Redress Disorders
in Common Informers, 18 Eliz. I, ch. 5
(1576); Act Concerning Informers, 31 Eliz.
I, ch. 5 (1589); see generally Davies, supra,
at 63-76. Nevertheless, laws allowing qui
tam suits by informers continued to
exist in England until 1951, when all of
the remaining ones were repealed. See
Note, The History and Development of Qui
Tam, 1972 Wash. U. L. Q. 81, 88, and n. 44
(citing Common Informers Act, 14 & 15
Geo. VI, ch. 39 (1951)).
Qui tam actions appear to have
been as prevalent in America as in
England, at least in the period
immediately before and after the framing
of the Constitution. Although there is no
evidence that the Colonies allowed
common-law qui tam actions
(which, as we have noted, were dying out
in England by that time), they did pass
several informer statutes expressly
authorizing qui tam suits. See, e.g.,
Act for the Restraining and Punishing of
Privateers and Pirates, 1st Assembly, 4th
Sess. (N. Y. 1692), reprinted in 1
Colonial Laws of New York 279, 281 (1894)
(allowing informers to sue for, and
receive share of, fine imposed upon
officers who neglect their duty to pursue
privateers and pirates). Moreover,
immediately after the framing, the First
Congress enacted a considerable number of
informer statutes. n5 Like their English
counterparts, some of them [#777]
provided both a bounty and an express
cause of action; n6 [##1865]
others provided a bounty only. n7
------------------------------------------
n5 In addition, the First Congress passed
one statute allowing injured parties to
sue for damages on both their own and the
United States' behalf. See Act of May 31,
1790, ch. 15, § 2, 1 Stat. 124-125
(allowing author or proprietor to sue for
and receive half of penalty for violation
of copyright); cf. Act of Mar. 1, 1790, ch.
2, § 6, 1 Stat. 103 (allowing census
taker to sue for and receive half of
penalty for failure to cooperate in
census); Act of July 5, 1790, ch. 25, §
1, 1 Stat. 129 (extending same to Rhode
Island).
n6 See Act of Mar. 1, 1790, ch. 2, § 3, 1
Stat. 102 (allowing informer to sue for,
and receive half of fine for, failure to
file census return); Act of July 5, 1790,
ch. 25, § 1, 1 Stat. 129 (extending same
to Rhode Island); Act of July 20, 1790, ch.
29, §§ 1, 4, 1 Stat. 131, 133 (allowing
private individual to sue for, and receive
half of fine for, carriage of seamen
without contract or illegal harboring of
runaway seamen); Act of July 22, 1790, ch.
33, § 3, 1 Stat. 137-138 (allowing
private individual to sue for, and receive
half of goods forfeited for, unlicensed
trading with Indian tribes); Act of Mar.
3, 1791, ch. 15, § 44, 1 Stat. 209
(allowing person who discovers violation
of spirits duties, or officer who seizes
contraband spirits, to sue for and receive
half of penalty and forfeiture, along with
costs, in action of debt); cf. Act of Apr.
30, 1790, ch. 9, §§ 16, 17, 1 Stat. 116
(allowing informer to conduct prosecution,
and receive half of fine, for criminal
larceny or receipt of stolen goods).
n7 See Act of July 31, 1789, ch. 5, § 29,
1 Stat. 44-45 (giving informer full
penalty paid by customs official for
failing to post fee schedule); Act of Aug.
4, 1790, ch. 35, § 55, 1 Stat. 173
(same); Act of July 31, 1789, ch. 5, §
38, 1 Stat. 48 (giving informer quarter of
penalties, fines, and forfeitures
authorized under a customs law); Act of
Sept. 1, 1789, ch. 11, § 21, 1 Stat. 60
(same under a maritime law); Act of Aug.
4, 1790, ch. 35, § 69, 1 Stat. 177 (same
under another customs law); Act of Sept.
2, 1789, ch. 12, § 8, 1 Stat. 67
(providing informer half of penalty upon
conviction for violation of
conflict-of-interest and bribery
provisions in Act establishing Treasury
Department); Act of Mar. 3, 1791, ch. 8,
§ 1, 1 Stat. 215 (extending same to
additional Treasury employees); Act of
Feb. 25, 1791, ch. 10, §§ 8, 9, 1 Stat.
195-196 (providing informer half or fifth
of fines resulting from improper trading
or lending by agents of Bank of United
States); cf. Act of Aug. 4, 1790, ch. 35,
§ 4, 1 Stat. 153 (apportioning half of
penalty for failing to deposit ship
manifest to official who should have
received manifest, and half to collector
in port of destination).
We have suggested, in dictum, that
"statutes providing for a reward to
informers which do not specifically either
authorize or forbid the informer to
institute the action are construed to
authorize him to sue." United
States ex rel. Marcus v. Hess,
317 U.S. 537, 541, n. 4, 87 L. Ed. 443, 63
S. Ct. 379 (1943).
------------------------------------------
We think this history well nigh conclusive
with respect to the question before us
here: whether qui tam actions
were "cases and controversies of the
sort traditionally amenable to, and
resolved by, the judicial process." Steel
Co., 523 U.S. at 102. [#778]
When combined with the theoretical
justification for relator standing
discussed earlier, it leaves no room for
doubt that a qui tam relator
under the FCA has Article III standing. n8
We turn, then, to the merits.
------------------------------------------
n8 In so concluding, we express no view on
the question whether qui tam
suits violate Article II, in particular
the Appointments Clause of § 2 and the
"take Care" Clause of § 3.
Petitioner does not challenge the qui
tam mechanism under either of those
provisions, nor is the validity of qui
tam suits under those provisions a
jurisdictional issue that we must resolve
here. See Steel Co. v. Citizens
for Better Environment, 523 U.S. 83,
102, n. 4, 140 L. Ed. 2d 210, 118 S. Ct.
1003 (1998) ("Our standing
jurisprudence, . . . though it may
sometimes have an impact on Presidential
powers, derives from Article III and not
Article II"); see also Lujan
v. Defenders of Wildlife, 504
U.S. 555, 576-578, 119 L. Ed. 2d 351, 112
S. Ct. 2130 (1992).
The dissent implicitly attacks us for
"introducing [this question] sua
sponte." Post, at 14.
We raise the question, however, only to
make clear that it is not at issue in this
case. It is only the dissent that proceeds
to volunteer an answer. See post,
at 13-14.
------------------------------------------
III
Petitioner
makes two contentions: (1) that a State
(or state agency) is not a
"person" subject to qui tam liability
under the FCA; and (2) that if it is, the
Eleventh Amendment bars such a suit. The
Courts of Appeals have disagreed as to the
order in which these statutory and
Eleventh Amendment immunity questions
should be addressed. Compare United
States ex rel. Long v. SCS
Business & Technical Institute, Inc.,
335 U.S. App. D.C. 351, 173 F.3d 890,
893-898 (CADC 1999) (statutory question
first), with United States ex rel.
Foulds v. Texas Tech Univ.,
171 F.3d 279, 285-288 (CA5 1999) (Eleventh
Amendment immunity question first).
Questions of jurisdiction, of course,
should be given priority -- since if there
is no jurisdiction there is no authority
to sit in judgment of anything else. See Steel
Co., 523 U.S. at 93-102.
"Jurisdiction is power to declare the
law, and when it ceases to exist, the only
function remaining to the court is that of
announcing [##1866] the fact
and dismissing the [#779]
cause." Ex parte McCardle,
74 U.S. 506, 7 Wall. 506, 514, 19 L. Ed.
264 (1869). Even jurisdiction over the
person (as opposed to subject-matter
jurisdiction) "is 'an essential
element of the jurisdiction of a district
. . . court,' without which the court is
'powerless to proceed to an
adjudication.'" Ruhrgas AG
v. Marathon Oil Co., 526 U.S.
574, 584, 143 L. Ed. 2d 760, 119 S. Ct.
1563 (1999) (quoting Employers
Reinsurance Corp. v. Bryant,
299 U.S. 374, 382, 81 L. Ed. 289, 57 S.
Ct. 273 (1937)).
We nonetheless have routinely addressed before
the question whether the Eleventh
Amendment forbids a particular statutory
cause of action to be asserted against
States, the question whether the statute
itself permits the cause of
action it creates to be asserted against
States (which it can do only by clearly
expressing such an intent). See, e.g.,
Kimel v. Florida Bd. of
Regents, 528 U.S. ___ , ___ (2000)
(slip op., at 8-13); Seminole Tribe of
Fla. v. Florida, 517 U.S.
44, 55-57, 134 L. Ed. 2d 252, 116 S. Ct.
1114 (1996); cf. Hafer v. Melo,
502 U.S. 21, 25-31, 116 L. Ed. 2d 301, 112
S. Ct. 358 (1991); Mt. Healthy City
Bd. of Ed. v. Doyle, 429
U.S. 274, 277-281, 50 L. Ed. 2d 471, 97 S.
Ct. 568 (1977). When these two questions
are at issue, not only is the statutory
question "logically antecedent to the
existence of " the Eleventh Amendment
question, Amchem Products, Inc.
v. Windsor, 521 U.S. 591, 612,
138 L. Ed. 2d 689, 117 S. Ct. 2231 (1997),
but also there is no realistic possibility
that addressing the statutory question
will expand the Court's power beyond the
limits that the jurisdictional restriction
has imposed. The question whether the
statute provides for suits against the
States (as opposed, for example, to the
broader question whether the statute
creates any private cause of action
whatever, or the question whether the
facts alleged make out a "false
claim" under the statute) does not,
as a practical matter, permit the court to
pronounce upon any issue, or upon the
rights of any person, beyond the issues
and persons that would be reached under
the Eleventh Amendment inquiry anyway. The
ultimate issue in the statutory inquiry is
whether States can be sued under this
statute; and the ultimate issue in the
Eleventh Amendment inquiry is whether
unconsenting States can be sued under this
statute. This combination of logical
priority [#780] and
virtual coincidence of scope makes it
possible, and indeed appropriate, to
decide the statutory issue first. We
therefore begin (and will end) with the
statutory question.
The relevant provision of the FCA, 31
U.S.C. § 3729(a), subjects to liability
"any person" who, inter alia,
"knowingly presents, or causes to be
presented, to an officer or employee of
the United States Government . . . a false
or fraudulent claim for payment or
approval." We must apply to this text
our longstanding interpretive presumption
that "person" does not include
the sovereign. See United States
v. Cooper Corp., 312 U.S. 600,
604, 85 L. Ed. 1071, 61 S. Ct. 742 (1941);
United States v. Mine
Workers, 330 U.S. 258, 275, 91 L. Ed.
884, 67 S. Ct. 677 (1947). n9 The [#781]
presumption is "particularly
[##1867] applicable where it
is claimed that Congress has subjected the
States to liability to which they had not
been subject before." Will
v. Michigan Dept. of State Police,
491 U.S. 58, 64, 105 L. Ed. 2d 45, 109 S.
Ct. 2304 (1989); Wilson v. Omaha
Tribe, 442 U.S. 653, 667, 61 L. Ed.
2d 153, 99 S. Ct. 2529 (1979). The
presumption is, of course, not a
"hard and fast rule of
exclusion," Cooper Corp.,
312 U.S. at 604-605, but it may be
disregarded only upon some affirmative
showing of statutory intent to the
contrary. See International Primate
Protection League v. Administrators
of Tulane Ed. Fund, 500 U.S. 72, 83,
114 L. Ed. 2d 134, 111 S. Ct. 1700 (1991).
------------------------------------------
n9 The dissent claims that, "although
general statutory references to 'persons'
are not normally construed to apply to the
enacting sovereign, when Congress uses
that word in federal statutes enforceable
by the Federal Government or by a federal
agency, it applies to States and state
agencies as well as to private individuals
and corporations." Post, at
2 (citation omitted). The dissent cites
three cases in support of this assertion.
None of them, however, involved a
statutory provision authorizing private
suit against a State. California
v. United States, 320 U.S. 577,
88 L. Ed. 322, 64 S. Ct. 352 (1944),
disregarded the presumption in a case
brought against a State by the Federal
Government (and under a statutory
provision authorizing suit only
by the Federal Government). See 320 U.S.
at 585-586. United States v. California,
297 U.S. 175, 80 L. Ed. 567, 56 S. Ct. 421
(1936), found the presumption overcome in
similar circumstances -- and with regard
to a statute that used not the word
"person," but rather the phrase
"common carrier." See 297 U.S.
at 186-187. And Georgia v. Evans,
316 U.S. 159, 86 L. Ed. 1346, 62 S. Ct.
972 (1942), held that the presumption was
overcome when, if a State were not
regarded as a "person" for
purposes of bringing an action
under § 7 of the Sherman Act, it would be
left "without any redress for
injuries resulting from practices outlawed
by that Act." 316 U.S. at 162.
The dissent contends that "the reason
for presuming that an enacting sovereign
does not intend to authorize litigation
against itself simply does not apply to
federal statutes that apply equally to
state agencies and private entities."
Post, at 10. That is true enough,
but in the American system there is a
different reason, equally valid. While the
States do not have the immunity against
federally authorized suit that
international law has traditionally
accorded foreign sovereigns, see National
City Bank of N. Y. v. Republic of
China, 348 U.S. 356, 358-359, 99 L.
Ed. 389, 75 S. Ct. 423 (1955), they are
sovereigns nonetheless, and both comity
and respect for our federal system demand
that something more than mere use of the
word "person" demonstrate the
federal intent to authorize unconsented
private suit against them. In any event,
JUSTICE STEVENS fought and lost this
battle in Will v. Michigan
Dept. of State Police, 491 U.S. 58,
105 L. Ed. 2d 45, 109 S. Ct. 2304 (1989),
in which the Court applied the presumption
to a federal statute when the
"person" at issue was a State.
See id., at 64; but see id.,
at 73 (Brennan, J., dissenting, joined by
Marshall, Blackmun, and STEVENS, JJ.).
Moreover, JUSTICE STEVENS actually joined
the Court's opinion in Wilson v. Omaha
Tribe, 442 U.S. 653, 61 L. Ed. 2d
153, 99 S. Ct. 2529 (1979), in which the
Court likewise applied the presumption to
a federal statute in a case involving a
State. See id., at 667. (Wilson
is omitted from the dissent's discussion
of "cases decided before 1986,"
which it claims "uniformly
support" its reading of the statute. Post,
at 2.)
------------------------------------------
As the historical context makes clear, and
as we have often observed, the FCA was
enacted in 1863 with the principal goal of
"stopping the massive frauds
perpetrated by large [private] contractors
during the Civil War." United
States v. Bornstein, 423
U.S. 303, 309, 46 L. Ed. 2d 514, 96 S. Ct.
523 (1976); see also United States ex
rel. Marcus v. Hess, 317
U.S. 537, 547, 87 L. Ed. 443, 63 S. Ct.
379 (1943). n10 Its [#782]
liability provision -- the precursor to
today's § 3729(a) -- bore no indication
that States were subject to its penalties.
Indeed, far from indicating that States
were covered, it did not even make clear
that private corporations were,
since it applied only to "any person
not in the military or naval forces of the
United States, nor in the militia called
into or actually employed in the service
of the United States," and imposed
criminal penalties that included
imprisonment. n11 Act of Mar. 2, 1863, ch.
67, § 3, 12 Stat. 698. We do not suggest
that these features directed only at
natural persons cast doubt upon the
courts' assumption that § 3729(a) extends
to corporations, [##1868] see,
e.g., United States ex rel.
Woodard v. Country View Care
Center, Inc., 797 F.2d 888, 890 (CA10
1986) -- but that is because the
presumption with regard to corporations is
just the opposite of the one governing
here: they are presumptively covered
by the term "person," see 1
U.S.C. § 1. But the text of the original
statute does less than nothing to overcome
the presumption that States are not
covered.
------------------------------------------
n10 The dissent contends that the FCA was
"intended to cover the full range of
fraudulent acts, including those
perpetrated by States." Post,
at 4-5, and n. 2 (quoting United
States v. Neifert-White Co.,
390 U.S. 228, 232, 19 L. Ed. 2d 1061, 88
S. Ct. 959 (1968); Rainwater v. United
States, 356 U.S. 590, 592, 2 L. Ed.
2d 996, 78 S. Ct. 946 (1958); H. R. Rep.
No. 99-660, p. 18 (1985)). The sources the
dissent quotes, however, support its
contention only as far as the comma. They
stand for the unobjectionable proposition
(codified in § 3729(c)) that the FCA was
intended to cover all types of fraud,
not for the additional proposition that
the FCA was intended to cover all types of
fraudsters, including States.
n11 The criminal provision remains on the
books and is currently codified
separately, as amended, at 18 U.S.C. §
287.
------------------------------------------
Although the liability provision of the
original FCA has undergone various
changes, none of them suggests a
broadening of the term "person"
to include States. In 1982, Congress made
a housekeeping change, replacing the
phrase "any person not in the
military or naval forces of the United
States, nor in the militia called into or
actually employed in the service of the
United States" with the phrase
"[a] person not a member of an armed
force of the United States," thereby
incorporating the term of art "member
of an armed force" used throughout
Title 10 of the United States Code. 31
U.S.C. § 3729 (1982 ed.). And in 1986,
Congress eliminated the blanket exemption
for members of the Armed Forces, replacing
the phrase "[a] person not a member
of an [#783] armed
force of the United States" with the
current "any person." 31 U.S.C.
§ 3729(a). n12
------------------------------------------
n12 The dissent claims that "the term
'person' in § 3729(a) that we are
interpreting today was enacted by the 1986
Congress, not by the 1863 Congress." Post,
at 6, n. 5. But the term
"person" has remained in the
statute unchanged since 1863; the 1986
amendment merely changed the modifier
"[a]" to "any." This
no more caused the word "person"
to include States than did the replacement
of the word "any" with
"[a]" four years earlier. The
dissent's sole basis for giving the change
from "[a]" to "any"
this precise and unusual consequence is a
single sentence of legislative history
from the 1986 Congress. That would be
unequal to the task in any event, but as
it happens the sentence was not even
describing the consequence of the proposed
revision, but was setting forth a Senate
Committee's (erroneous) understanding of
the meaning of the statutory term enacted
some 123 years earlier. The paragraph in
which the sentence appears discusses the
FCA "in its present," i.e.,
pre-1986, "form." S. Rep. No.
99-345, p. 8 (1986).
The dissent contradicts its contention
that the "intent" of the 1986
Congress, rather than that of the 1863
Congress, controls here, by relying
heavily on a House Committee Report from
1862. Post, at 3-4 (citing H. R.
Rep. No. 2, 37th Cong., 2d Sess., pt.
ii-a, pp. XXXVIII-XXXIX (1862)). Even for
those disposed to allow the meaning of a
statute to be determined by a single
committee, that Report is utterly
irrelevant, since it was not prepared in
connection with the 1863 Act, or indeed in
connection with any proposed false claims
legislation. In repeating the Second
Circuit's unsupported assertion that
Congress must have had this Report in mind
a year later when it enacted the FCA, the
dissent asks us to indulge even a greater
suspension of disbelief than legislative
history normally requires. And finally,
this irrelevant committee Report does not
provide the promised support for the view
that "the False Claims Act is . . .
as capable of being violated by State as
by individual action," post,
at 3. The cited portion details a single
incident of fraud by a state official
against a State, not an incident
of fraud by a State against the Federal
Government.
------------------------------------------
Several features of the current statutory
scheme further support the conclusion that
States are not subject to qui tam
liability. First, another section of the
FCA, 31 U.S.C. § 3733, which enables the
Attorney General to issue civil
investigative demands to "any person
. . . possessing information relevant to a
false claims law investigation," §
3733(a)(1), [#784]
contains a provision expressly defining
"person," "for purposes of
this section," to include States, §
3733(l)(4). n13 The presence of
such a definitional [##1869]
provision in § 3733, together with the
absence of such a provision from the
definitional provisions contained in §
3729, see §§ 3729(b)-(c), suggests that
States are not "persons" for
purposes of qui tam liability
under § 3729. n14
------------------------------------------
n13 The dissent points out that the
definition of "person" in §
3733(l)(4) also applies to §
3733(l)(2), a definitional
provision which defines the phrase
"false claims law investigation"
as "any inquiry conducted by any
false claims law investigator for the
purpose of ascertaining whether any person
is or has been engaged in any violation of
a false claims law." See post,
at 1, 7-8. But the effect of assuming a
State to be a "person" for
purposes of that definitional section is not
to embrace investigations of States within
the definition. A "false claims
investigation" will still
not include an investigation of a State,
since whether a "person" (however
broadly defined) "is or has been
engaged in any violation of a false claims
law" depends on whether that person
is subject to the "false
claims law," which refers us back to
§ 3729, to which § 3733(l)(4)'s
definition of "person" is
explicitly made inapplicable. What the
application of § 3733(l)(4) to
§ 3733(l)(2) does
achieve is to subject States, not
to qui tam liability, but to
civil investigative demands. That is
entirely appropriate, since States will
often be able to provide useful evidence
in investigations of private contractors.
n14 The dissent contends that our argument
"proves too much," since the
definition of "person" in §
3733(l)(4) includes not just
States, but also "any natural person,
partnership, corporation, association, or
other legal entity"; under our
reasoning, it contends, all of those
entities would also be excluded
from the definition of "person"
under § 3729. Post, at 11. That
is not so. Unlike States, all of those
entities are presumptively covered
by the term "person." See 1
U.S.C. § 1. The addition of
States to 31 U.S.C. § 3733, and the
failure to add States to § 3729, suggests
that States are not subject to qui tam
liability under § 3729.
The dissent attempts to explain the
absence of a definitional provision in §
3729 by suggesting that Congress
"simply saw no need to add a
definition of 'person' in § 3729 because
. . . the meaning of the term 'person' was
already well understood." Post,
at 11. If that were so, and if the
"understanding" included States,
there would have been no need to include a
definition of "person" in §
3733.
------------------------------------------
Second, the current version of the FCA
imposes damages that are essentially
punitive in nature, which would be
inconsistent [#785]
with state qui tam liability in
light of the presumption against
imposition of punitive damages on
governmental entities. See, e.g.,
Newport v. Fact Concerts,
Inc., 453 U.S. 247, 262-263, 69 L.
Ed. 2d 616, 101 S. Ct. 2748 (1981). n15
Although this Court suggested that damages
under an earlier version of the FCA were
remedial rather than punitive, see Bornstein,
423 U.S. at 315; but see Smith v.
Wade, 461 U.S. 30, 85, 75 L. Ed.
2d 632, 103 S. Ct. 1625 (1983) (REHNQUIST,
J., dissenting), that version of the
statute imposed only double damages and a
civil penalty of $ 2,000 per claim, see 31
U.S.C. § 231 (1976 ed.); the current
version, by contrast, generally imposes
treble damages and a civil penalty of up
to $ 10,000 per claim, see 31 U.S.C. §
3729(a). n16 Cf. Marcus, 317 U.S.
at 550 (noting that double damages in
[#786] original FCA
were not punitive, but suggesting that
treble damages, such as those in the
antitrust laws, would [##1870]
have been). "The very idea of treble
damages reveals an intent to punish past,
and to deter future, unlawful conduct, not
to ameliorate the liability of
wrongdoers." Texas Industries,
Inc. v. Radcliff Materials, Inc.,
451 U.S. 630, 639, 68 L. Ed. 2d 500, 101
S. Ct. 2061 (1981).
------------------------------------------
n15 The dissent attempts to
distinguish Newport on the basis of a
single sentence in that opinion stating
that "courts view punitive damages
[against governmental bodies] as contrary
to sound public policy, because such
awards would burden the very taxpayers and
citizens for whose benefit the wrongdoer
was being chastised." Newport
v. Fact Concerts, Inc., 453 U.S.
247, 263, 69 L. Ed. 2d 616, 101 S. Ct.
2748 (1981). The dissent contends that Newport
is inapplicable where, as here, "the
taxpaying 'citizens for whose benefit' the
[statute] is designed are the citizens of
the United States, not the citizens of any
individual State that might violate the
[statute]." Post, at 13. The
problem with this is that 42 U.S.C. §
1983 -- the statute at issue in Newport
-- is, like the FCA, a federal law
designed to benefit "the citizens of
the United States, not the citizens of any
individual State that might violate the
[statute]." A better reading of Newport
is that we were concerned with
imposing punitive damages on taxpayers
under any circumstances. "'[Punitive
damages], being evidently vindictive,
cannot, in our opinion, be sanctioned by
this court, as they are to be borne by
widows, orphans, aged men and women, and
strangers, who, admitting that they must
repair the injury inflicted by the Mayor
on the plaintiff, cannot be bound beyond
that amount, which will be sufficient for
her indemnification.'" Newport,
supra, at 261 (quoting McGary
v. President & Council of City of
Lafayette, 12 Rob. 668, 677 (La.
1846)).
n16 As the dissent correctly points out,
see post, at 13, n. 11, treble
damages may be reduced to double damages
in certain cases, see § 3729(a). This
exception, however, applies only in some
of those (presumably few) cases involving
defendants who provide information
concerning the violation before they have
knowledge that an investigation is
underway. See ibid.
------------------------------------------
Third, the Program Fraud Civil Remedies
Act of 1986 (PFCRA), a sister scheme
creating administrative remedies for false
claims -- and enacted just before the FCA
was amended in 1986 -- contains (unlike
the FCA) a definition of
"persons" subject to liability,
and that definition does not include
States. See 31 U.S.C. § 3801(a)(6)
(defining "person" as "any
individual, partnership, corporation,
association, or private
organization"). It would be most
peculiar to subject States to treble
damages and civil penalties in qui tam
actions under the FCA, but exempt them
from the relatively smaller damages
provided under the PFCRA. See §
3802(a)(1). n17
------------------------------------------
n17 The dissent attempts to distinguish
the PFCRA on the ground that it is a
separate and subsequently enacted statute.
See post, at 11-12, and n. 10.
But it is well established that a court
can, and should, interpret the text of one
statute in the light of text of
surrounding statutes, even those
subsequently enacted. See FDA v. Brown
& Williamson Tobacco Corp., 529
U.S. ___ , ___ (2000) (slip op., at 9-10);
United States v. Fausto,
484 U.S. 439, 453, 98 L. Ed. 2d 830, 108
S. Ct. 668 (1988). Moreover, there is no
question that the PFCRA was designed to
operate in tandem with the FCA. Not only
was it enacted at virtually the same time
as the FCA was amended in 1986, but its
scope is virtually identical to that of
the FCA. Compare § 3729(a) (FCA)
("Any person who . . . knowingly
presents, or causes to be presented, to an
officer or employee of the United States
Government . . . a false or fraudulent
claim for payment or approval . . .
") with § 3802(a)(1) (PFCRA)
("Any person who makes, presents, or
submits, or causes to be made, presented,
or submitted, a claim that the person
knows or has reason to know . . . is
false, fictitious, or fraudulent . . .
"). The dissent would, in any event,
subject States to suit under the PFCRA no
less than under the FCA -- despite its
detailed definition of "person"
that does not include States. In
justification of this the dissent again
cites California v. United
States, 320 U.S. at 585, and Evans,
316 U.S. at 160. In addition to being
inapposite because they did not authorize
suits against States by private parties,
see n. 9, supra, the definitions
of "person" in the statutes at
issue in those cases were not as detailed
as that of the PFCRA, and set forth what
the term "person" included,
rather than, as the PFCRA does, what the
term "person" "means,"
see 31 U.S.C. § 3801(a)(6) (emphasis
added).
------------------------------------------
[#787]
In sum, we believe that various features
of the FCA, both as originally enacted and
as amended, far from providing the
requisite affirmative indications that the
term "person" included States
for purposes of qui tam
liability, indicate quite the contrary.
Our conclusion is buttressed by two other
considerations that we think it
unnecessary to discuss at any length:
first, "the ordinary rule of
statutory construction" that "if
Congress intends to alter the usual
constitutional balance between States and
the Federal Government, it must make its
intention to do so unmistakably clear in
the language of the statute," Will,
491 U.S. at 65 (internal quotation marks
and citation omitted); see also Gregory
v. Ashcroft, 501 U.S. 452,
460-461, 115 L. Ed. 2d 410, 111 S. Ct.
2395 (1991); United States v. Bass,
404 U.S. 336, 349, 30 L. Ed. 2d 488, 92 S.
Ct. 515 (1971), and second, the doctrine
that statutes should be construed so as to
avoid difficult constitutional questions.
We of course express no view on the
question whether an action in federal
court by a qui tam relator
against a State would run afoul of the
Eleventh Amendment, but we note that there
is "a serious doubt" on that
score. Ashwander v. TVA,
297 U.S. 288, 348, 80 L. Ed. 688, 56 S.
Ct. 466 (1936) (Brandeis, J., concurring)
(internal quotation marks and citation
omitted). n18
------------------------------------------
n18 Although the dissent concludes that
States can be "persons" for
purposes of commencing an FCA qui
tam action under § 3730(b), see post,
at 6-7, we need not resolve that question
here, and therefore leave it open.
------------------------------------------
* * * [##1871]
We hold that a private individual has
standing to bring suit in federal court on
behalf of the United States under the
False Claims Act, 31 U.S.C. §§
3729-3733, but that the [#788]
False Claims Act does not subject a State
(or state agency) to liability in such
actions. The judgment of the Second
Circuit is reversed.
It is so ordered.
CONCURRENCES BY: BREYER;
GINSBURG
CONCUR: JUSTICE BREYER,
concurring.
I join the opinion of the Court in full. I
also join the opinion of JUSTICE GINSBURG.
CONCUR:
JUSTICE
GINSBURG, with whom JUSTICE BREYER joins,
concurring in the judgment.
I join the Court's judgment and here state
the extent to which I subscribe to the
Court's opinion.
I agree with the Court that the qui
tam relator is properly regarded as
an assignee of a portion of the
Government's claim for damages. See ante,
at 6. And I agree, most vitally, that
"Article III's restriction of the
judicial power to 'Cases' and
'Controversies' is properly understood to
mean 'cases and controversies of the sort
traditionally amenable to, and resolved
by, the judicial process.'" Ante,
at 7. On that key matter, I again agree
that history's pages place the qui tam
suit safely within the "case" or
"controversy" category. See ante,
at 7-11.
In Steel Co. v. Citizens for
Better Environment, 523 U.S. 83, 140
L. Ed. 2d 210, 118 S. Ct. 1003 (1998), I
reasoned that if Congress did not
authorize a citizen suit, a court should
dismiss the citizen suitor's complaint
without opining "on the
constitutionality of what Congress might
have done, but did not do." Id.,
at 134 (opinion concurring in judgment). I
therefore agree that the Court properly
turns first to the statutory question here
presented: Did Congress authorize qui
tam suits against the States.
Concluding that Congress did not authorize
such suits, the Court has no cause to
engage in an Eleventh Amendment inquiry,
and appropriately leaves that issue open.
I do not find in the False Claims Act any
clear statement subjecting the States to qui
tam suits brought by private [#789]
parties, and therefore concur in the
Court's resolution of the statutory
question. See ante, at 21. I
note, however, that the clear statement
rule applied to private suits against a
State has not been applied when the United
States is the plaintiff. See, e.g.,
Sims v. United States,
359 U.S. 108, 112, 3 L. Ed. 2d 667, 79 S.
Ct. 641 (1959) (state agency ranks as a
"person" subject to suit by the
United States under federal tax levy
provision); United States v. California,
297 U.S. 175, 186-187, 80 L. Ed. 567, 56
S. Ct. 421 (1936) (state-owned railway
ranks as a "common carrier"
under Federal Safety Appliance Act subject
suit for penalties by the United States).
I read the Court's decision to leave open
the question whether the word
"person" encompasses States when
the United States itself sues under the
False Claims Act.
DISSENT BY: STEVENS
DISSENT: JUSTICE STEVENS,
with whom JUSTICE SOUTER joins,
dissenting.
In 1986, Congress amended the False Claims
Act (FCA or Act) to create a new procedure
known as a "civil investigative
demand," which allows the Attorney
General to obtain documentary evidence
"for the purpose of ascertaining
whether any person is or has been engaged
in" a violation of the Act --
including a violation of 31 U.S.C. §
3729. The 1986 amendments also declare
that a "person" who could engage
in a violation of § 3729 -- thereby
triggering the civil investigative demand
provision -- includes "any State or
political subdivision of a State."
See § 6(a), 100 Stat. 3168 (codified at
31 U.S.C. §§ 3733(l)(1)(A),
(2), (4)). In my view, this statutory text
makes it perfectly clear that Congress
intended the term "person" in §
3729 to include States. This understanding
[##1872] is supported by the
legislative history of the 1986
amendments, and is fully consistent with
this Court's construction of federal
statutes in cases decided before those
amendments were enacted.
Since the FCA was amended in 1986,
however, the Court has decided a series of
cases that cloak the States with an
increasingly protective mantle of
"sovereign immunity" from [#790]
liability for violating federal laws. It
is through the lens of those post-1986
cases that the Court has chosen to
construe the statute at issue in this
case. To explain my disagreement with the
Court, I shall comment on pre-1986 cases,
the legislative history of the 1986
amendments, and the statutory text of the
FCA -- all of which support the view that
Congress understood States to be included
within the meaning of the word
"person" in § 3729. I shall
then briefly explain why the State's
constitutional defenses fail, even under
the Court's post-1986 construction of the
doctrine of sovereign immunity.
I
Cases
decided before 1986 uniformly support the
proposition that the broad language used
in the False Claims Act means what it
says. Although general statutory
references to "persons" are not
normally construed to apply to the
enacting sovereign, United States
v. Mine Workers, 330 U.S. 258,
275, 91 L. Ed. 884, 67 S. Ct. 677 (1947),
when Congress uses that word in federal
statutes enforceable by the Federal
Government or by a federal agency, it
applies to States and state agencies as
well as to private individuals and
corporations. Thus, for example, the word
"person" in the Sherman Act does
not include the sovereign that enacted the
statute (the Federal Government), United
States v. Cooper Corp., 312
U.S. 600, 85 L. Ed. 1071, 61 S. Ct. 742
(1941), but it does include the States, Georgia
v. Evans, 316 U.S. 159, 86 L. Ed.
1346, 62 S. Ct. 972 (1942). Similarly,
States are subject to regulation as a
"person" within the meaning of
the Shipping Act of 1916, California
v. United States, 320 U.S. 577,
88 L. Ed. 322, 64 S. Ct. 352 (1944), and
as a "common carrier" within the
meaning of the Safety Appliance Act, United
States v. California, 297
U.S. 175, 80 L. Ed. 567, 56 S. Ct. 421
(1936). In the latter case, the State of
California "invoked the canon of
construction that a sovereign is
presumptively not intended to be
bound" by a statute unless the act
expressly declares that to be the case. Id.,
at 186. We rejected the applicability of
that canon, stating: [#791]
"We
can perceive no reason for extending it
so as to exempt a business carried on by
a state from the otherwise applicable
provisions of an act of Congress,
all-embracing in scope and national in
its purpose, which is as capable of
being obstructed by state as by
individual action. Language and
objectives so plain are not to be
thwarted by resort to a rule of
construction whose purpose is but to
resolve doubts, and whose application in
the circumstances would be highly
artificial." 297 U.S. at 186-187.
n1
------------------------------------------
n1 The difference between the post-1986
lens through which the Court views
sovereign immunity issues, on the one
hand, and the actual intent of Congress in
statutes like the one before us today, on
the other hand, is well illustrated by the
congressional rejection of the holdings in
Hoffman v. Connecticut Dept.
of Income Maintenance, 492 U.S. 96,
106 L. Ed. 2d 76, 109 S. Ct. 2818 (1989),
and United States v. Nordic
Village, Inc., 503 U.S. 30, 117 L.
Ed. 2d 181, 112 S. Ct. 1011 (1992). In
those cases, the Court refused to find the
necessary unequivocal waiver of sovereign
immunity against both the States and the
Federal Government in § 106(c) of the
Bankruptcy Code.
Congress, however, thought differently:
"In enacting section 106(c), Congress
intended . . . to make the States subject
to a money judgment. But the Supreme Court
in Hoffman v. Connecticut
Department of Income Maintenance, 492
U.S. 96, 106 L. Ed. 2d 76, 109 S. Ct. 2818
(1989), held [otherwise.] In using such a
narrow construction, the Court . . . did
not find in the text of the statute an 'unmistakenly
clear' intent of Congress to waive
sovereign immunity . . . . The Court
applied this reasoning in United
States v. Nordic Village, Inc."
See 140 Cong. Rec. 27693 (1994). Congress
therefore overruled both of those
decisions by enacting the current version
of 11 U.S.C. § 106.
------------------------------------------
[##1873]
The False Claims Act is also all-embracing
in scope, national in its purpose, and as
capable of being violated by state as by
individual action. n2 It was enacted
during the Civil War, shortly after a
congressional committee [#792]
had decried the "fraud and
peculation" by state officials in
connection with the procurement of
military supplies and Government contracts
-- specifically mentioning the purchases
of supplies by the States of Illinois,
Indiana, New York, and Ohio. See H. R.
Rep. No. 2, 37th Cong., 2d Sess., pt.
ii-a, pp. XXXVIII-XXXIX (1862). Although
the FCA was not enacted until the
following year, the Court of Appeals for
the Second Circuit correctly observed that
"it is difficult to suppose that when
Congress considered the bills leading to
the 1863 Act a year later it either meant
to exclude the States from the 'persons'
who were to be liable for the presentation
of false claims to the federal government
or had forgotten the results of this
extensive investigation." 162 F.3d
195, 206 (1998). That observation is
faithful to the broad construction of the
Act that this Court consistently endorsed
in cases decided before 1986 (and hardly
requires any "suspension of
disbelief" as the majority supposes, ante,
at 16, n. 12).
------------------------------------------
n2 It is thus at the opposite pole from
the statute construed in Wilson
v. Omaha Tribe, 442 U.S. 653, 61
L. Ed. 2d 153, 99 S. Ct. 2529 (1979),
which held that the term "white
person" did not include the State of
Iowa because "it is apparent that in
adopting § 22 Congress had in mind only
disputes arising in Indian country,
disputes that would not arise in or
involve any of the States." 442 U.S.
at 668.
------------------------------------------
Thus, in United States v. Neifert-White
Co., 390 U.S. 228, 232, 19 L. Ed. 2d
1061, 88 S. Ct. 959 (1968), after noting
that the Act was passed as a result of
investigations of the fraudulent use of
federal funds during the Civil War, we
inferred "that the Act was intended
to reach all types of fraud, without
qualification, that might result in
financial loss to the Government."
See also Rainwater v. United
States, 356 U.S. 590, 592, 2 L. Ed.
2d 996, 78 S. Ct. 946 (1958) ("It
seems quite clear that the objective of
Congress [in the FCA] was broadly to
protect the funds and property of the
Government from fraudulent claims");
H. R. Rep. No. 99-660, p. 18 (1986)
("The False Claims Act is used as . .
. the primary vehicle by the Government
for recouping losses suffered through
fraud"). Indeed, the fact that
Congress has authorized qui tam
actions by private individuals to
supplement the remedies available to the
Federal Government provides additional
evidence of its intent to reach all types
of fraud that cause financial loss to the
Federal Government. Finally, the [#793]
breadth of the "claims" to which
the FCA applies n3 only confirms the
notion that the law was intended to cover
the full range of fraudulent acts,
including those perpetrated by States. n4
------------------------------------------
n3 Title 31 U.S.C. § 3729(c) reads:
"For purposes of this section,
'claim' includes any request or demand,
whether under contract or otherwise, for
money or property which is made to a
contractor, grantee, or other recipient if
the United States Government provides any
portion of the money or property which is
requested or demanded, or if the
Government will reimburse such contractor,
grantee, or other recipient for any
portion of the money or property which is
requested or demanded."
n4 When Congress amended the FCA in 1986,
it noted that "evidence of fraud in
Government programs and procurement is on
a steady rise." H. R. Rep. No.
99-660, at 18. And at that time, federal
grants to state and local governments had
totaled over $108 billion. See U.S. Dept.
of Commerce National Data Book and Guide
to Sources, Statistical Abstract of the
United States 301 (108th ed. 1988)
(compiling data from 1986). It is
therefore difficult to believe, as the
Court contends, that Congress intended
"to cover all types of fraud,
[but not] all types of fraudsters,"
ante, at 15, n. 10, a conclusion
that would exclude from coverage such a
large share of potential fraud.
------------------------------------------
[##1874]
The legislative history of the 1986
amendments discloses that both federal and
state officials understood that States
were "persons" within the
meaning of the statute. Thus, in a section
of the 1986 Senate Report describing the
history of the Act, the committee
unequivocally stated that the Act reaches
all parties who may submit false claims
and that "the term 'person' is used
in its broad sense to include
partnerships, associations, and
corporations . . . as well as States and
political subdivisions thereof." S.
Rep. No. 99-345, pp. 8-9. n5
------------------------------------------
n5 Petitioner argues that the Senate
Report's statement was simply inaccurate,
because the three cases to which the
Report cited for support did not interpret
the meaning of the word "person"
in the False Claims Act. Brief for
Petitioner 25-26. The cases stand for the
proposition that the statutory term
"person" may include States and
local governments -- exactly the
proposition I have discussed above. See supra,
at 2-3. Petitioner's observation that none
of the cases cited is directly on point
only indicates that the Senate's
understanding was based on an analogy
rather than on controlling precedent.
Petitioner further argues that the text of
the FCA as it was originally enacted in
1863 could not have included States as
"persons," and therefore the
Senate's understanding of the pre-1986 Act
was erroneous. See also ante, at
14-15. Assuming for argument's sake that
the Senate incorrectly ascertained what
Congress meant in 1863, petitioner's
argument is beside the point. The term
"person" in § 3729(a) that we
are interpreting today was enacted by the
1986 Congress, not by the 1863 Congress.
See 100 Stat. 3153 (deleting entirely the
previously existing introductory clause in
§ 3729, including the phrase "[a]
person not a member of an armed force of
the United States" and replacing it
with the new phrase "any
person"). Therefore, even if the 1986
Congress were mistaken about what a previous
Legislature had meant by the word
"person," it clearly expressed
its own view that when the 1986
Congress itself enacted the word
"person" (and not merely the
word "any" as the Court insists,
ante, at 16, n. 12), it meant the
reference to include States. There is not
the least bit of contradiction (as the
Court suggests, ibid.) in one
Congress informing itself of the general
understanding of a statutory term it
enacts based on its own (perhaps
erroneous) understanding of what a past
Congress thought the term meant.
------------------------------------------
[#794]
Indeed, a few federal courts had accepted
jurisdiction in qui tam cases
brought by the States -- thus indicating
their view that States were included among
the "persons" who may bring qui
tam actions as relators under §
3730(b)(1). See United States ex rel.
Woodard v. Country View Care
Center, Inc., 797 F.2d 888
(CA10 1986); United States ex rel.
Wisconsin v. Dean, 729 F.2d
1100 (CA7 1984); see also United
States ex rel. Hartigan v. Palumbo
Bros., Inc., 797 F. Supp. 624 (ND
Ill. 1992). Not only do these cases
express the view of those federal judges
who thought a State could be a
"person" under § 3730(b)(1),
but the cases also demonstrate that the
States considered themselves to be
statutory "persons." In fact, in
the Dean case, the United States
filed a statement with the court
explicitly stating its view that "the
State is a proper relator." 729 F.2d
at 1103, n. 2. And when the Seventh
Circuit in that case dismissed Wisconsin's
qui tam claim on grounds
unrelated to the definition [#795]
of the word "person," the
National Association of Attorneys General
adopted a resolution urging Congress to
make it easier for States to be relators.
n6 When Congress amended the FCA in 1986
-- and enacted the word "person"
in § 3729 at issue here -- it had all of
this information before it, i.e.,
that federal judges had accepted States as
relators (and hence as
"persons"); that the States
considered themselves to be statutory
"persons" and wanted greater
freedom to be "persons" who
could sue under the Act; and that the
United States had taken a like position.
See S. Rep. No. 99-345, at 12-13.
------------------------------------------
n6 Congress adopted the suggestion of the
Attorneys General in § 3730(e)(4)(A).
------------------------------------------
In sum, it is quite clear that when the
1986 amendments were adopted, there was a
general understanding that States and
state agencies were "persons"
within the meaning of the Act.
[##1875]
II
The
text of the 1986 amendments confirms the
pre-existing understanding. The most
significant part of the amendments is the
enactment of a new § 3733 granting
authority to the Attorney General to issue
a civil investigative demand (CID) before
commencing a civil proceeding on behalf of
the United States. A series of interwoven
definitions in § 3733 unambiguously
demonstrates that a State is a
"person" who can violate §
3729.
Section 3733 authorizes the Attorney
General to issue a CID when she is
conducting a "false claims law
investigation." § 3733(a). A
"false claims law investigation"
is defined as an investigation conducted
"for the purpose of ascertaining
whether any person is or has been
engaged in any violation of a false claims
law." § 3733(l)(2)
(emphasis added). And a "false claims
law" includes § 3729 -- the
provision at issue in this case. § 3733(l)(1)(A).
Quite plainly, these provisions
contemplate that any "person"
may be engaged [#796]
in a violation of § 3729. Finally, a
"person" is defined to include
"any State or political subdivision
of a State." § 3733(l)(4).
Hence, the CID provisions clearly state
that a "person" who may be
"engaged in any violation of a false
claims law," including § 3729,
includes a "State or a political
subdivision of a State." n7 These CID
provisions thus unmistakably express
Congress' understanding that a State may
be a "person" who can violate §
3729.
------------------------------------------
n7 Because this concatenation of
definitions expressly references and
incorporates § 3729, it is no answer that
the definitions listed in § 3733 apply,
by their terms, "for the purposes
of" § 3733.
------------------------------------------
Elsewhere in the False Claims Act the term
"person" includes States as
well. For example, § 3730 of the Act --
both before and after the 1986 amendments
-- uses the word "person" twice.
First, subsection (a) of § 3730 directs
the Attorney General to investigate
violations of § 3729, and provides that
if she "finds that a person
has violated or is violating" that
section, she may bring a civil action
"under this section against the person."
(Emphases added.) Second, subsection (b)
of § 3730 also uses the word
"person," though for a different
purpose; in that subsection the word is
used to describe the plaintiffs who may
bring qui tam actions on behalf
of themselves and the United States.
Quite clearly, a State is a
"person" against whom the
Attorney General may proceed under §
3730(a). n8 And as I noted earlier, see supra,
at 6, before 1986 States were considered
"persons" who could bring a qui
tam action as a relator under §
3730(b) -- and the Court offers nothing to
question that understanding. See ante,
at 21, n. 18. Moreover, when a qui tam
relator brings an action on behalf of the
United States, he or she is, in effect,
authorized to act as an assignee of the
Federal Government's claim. See ante,
at 6. Given that understanding, combined
with the fact [#797]
that § 3730(a) does not make any
distinction between possible defendants
against whom the Attorney General may
bring an action, the most normal inference
to draw is that qui tam actions
may be brought by relators against the
same category of "persons" that
may be sued by the Attorney General.
------------------------------------------
n8 JUSTICE GINSBURG, who joins in the
Court's judgment, is careful to point out
that the Court does not disagree with this
reading of § 3730(a). Ante, at
2.
------------------------------------------
To recapitulate, it is undisputed that
(under the CID provision) a State is a
"person" who may violate §
3729; that a State is a "person"
who may be named as a defendant in an
action brought by the Attorney General;
and that a State is a "person"
who may bring a qui tam action on
behalf of the United States. It therefore
seems most natural to read the adjacent
uses of the term "person" in
§§ 3729, 3730(a), 3730(b), and 3733 to
cover the same category of defendants. See
United States v. Cooper Corp.,
312 U.S. at 606 ("It is hardly
credible that Congress
[##1876] used the term
'person' in different senses in the same
sentence"). And it seems even more
natural to read the single word
"person" (describing who may
commit a violation under § 3729) to have
one consistent meaning regardless of
whether the action against that violator
is brought under § 3730(a) or under §
3730(b). See Ratzlaf v. United
States, 510 U.S. 135, 143, 126 L. Ed.
2d 615, 114 S. Ct. 655 (1994) ("A
term appearing in several places in a
statutory text is generally read the same
way each time it appears. We have even
stronger cause to construe a single
formulation . . . the same way each time
it is called into play"). Absent
powerful arguments to the contrary, it
should follow that a State may be named as
a defendant in an action brought by an
assignee of the United States. Rather than
pointing to any such powerful arguments,
however, the Court comes to a contrary
conclusion on the basis of an inapplicable
presumption and rather strained inferences
drawn from three different statutory
provisions.
The Court's principal argument relies on
"our longstanding interpretive
presumption that 'person' does not include
the sovereign." Ante, at 13.
As discussed earlier, that [#798]
"presumption" does not quite do
the heavy lifting the Court would like it
to do. What's more, the doctrinal origins
of that "presumption" meant only
that the enacting sovereign was
not normally thought to be a statutory
"person." See, e.g., United
States v. California, 297
U.S. at 186 ("The canon of
construction that a sovereign is
presumptively not intended to be bound by
its own statute unless named in it . . .
has its historical basis in the English
doctrine that the Crown is unaffected by
acts of Parliament not specifically
directed against it. The presumption is an
aid to consistent construction of statutes
of the enacting sovereign when
their purpose is in doubt" (emphasis
added)); see also United States
v. Mine Workers, 330 U.S. at 275;
United States v. Fox, 94
U.S. 315, 321, 24 L. Ed. 192 (1877); Will
v. Michigan Dept. of State Police,
491 U.S. 58, 73, 105 L. Ed. 2d 45, 109 S.
Ct. 2304 (1989) (Brennan, J., dissenting).
The reason for presuming that an enacting
sovereign does not intend to authorize
litigation against itself simply does not
apply to federal statutes that apply
equally to state agencies and private
entities. Finally, the "affirmative
showing" the Court would require to
demonstrate that the word
"person" includes States, ante,
at 14, is plainly found in the statutory
text discussed above.
The Court's first textual argument is
based on the fact that the definition of
the term "person" included in §
3733's CID provision expressly includes
States. "The presence of such a
definitional provision in § 3733,"
the Court argues, "together with the
absence of such a provision from the
definitional provisions contained in §
3729 . . . suggests that States are not
'persons' for purposes of qui tam
liability under § 3729." Ante,
at 17. Leaving aside the fact that §
3733's definition actually cuts in the
opposite direction, see supra, at
7-8, this argument might carry some weight
if the definitional provisions in § 3729
included some definition of
"person" but simply neglected to
mention States. But the definitional
provisions in § 3729 do not include
[#799] any definition
of "person" at all. The negative
inference drawn by the Court, if taken
seriously, would therefore prove too much.
The definition of "person" in §
3733 includes not only States, but also
"any natural person, partnership,
corporation, association, or other legal
entity." § 3733(l)(4). If
the premise of the Court's argument were
correct -- that the inclusion of certain
items as a "person" in § 3733
implies their exclusion as a
"person" in § 3729 -- then
there would be absolutely no one left
to be a "person" under § 3729.
n9 It is far more [##1877]
reasonable to assume that Congress simply
saw no need to add a definition of
"person" in § 3729 because (as
both the legislative history, see supra,
at 3-7, and the definitions in the CID
provisions demonstrate) the meaning of the
term "person" was already well
understood. Congress likely thought it
unnecessary to include a definition in §
3729 itself.
------------------------------------------
n9 Not so, the Court says, because natural
persons and other entities, unlike States,
are presumed to be included
within the term "person." Ante,
at 17-18, n. 14. In other words, this
supposedly independent textual argument
does nothing on its own without relying
entirely on the presumption already
discussed. See supra, at 9-10; ante,
at 13-15. The negative inference adds
nothing on its own.
------------------------------------------
The Court also relies on the definition of
"person" in a separate, but
similar, statute, the Program Fraud Civil
Remedies Act of 1986 (PFCRA). Ante,
at 19-20. The definition of
"person" found in that law
includes "any individual,
partnership, corporation, association, or
private organization." 31 U.S.C. §
3801(a)(6). It is first worth pointing out
the obvious: Although the PFCRA sits next
to the False Claims Act in the United
States Code, they are separate statutes.
It is therefore not altogether clear why
the former has much bearing on the latter.
n10 Regardless, the Court's whole argument
[#800] about the PFCRA
rests entirely on the premise that its
definition of "person" does not
include States. That premise, in turn,
relies upon the fact that § 3801(a)(6) in
the PFCRA defines a "person" to
include "any individual, partnership,
corporation, association, or private
organization," but does not mention
States. We have, however, interpreted
similar definitions of "person,"
which included corporations, partnerships,
and associations, to include States as
well, even though States were not
expressly mentioned in the statutory
definition. See California v. United
States, 320 U.S. at 585; Georgia
v. Evans, 316 U.S. at 160. (I
draw no definitive conclusions as to
whether States are subject to suit under
the PFCRA; I only mean to suggest that the
Court's premise is not as obvious as it
presumes it to be.) In any event, the
ultimate relevant question is whether the
text and legislative history of the
False Claims Act make it clear that
§ 3729's use of the word
"person" includes States.
Because they do, nothing in any other
piece of legislation narrows the meaning
of that term.
------------------------------------------
n10 Indeed, reliance on the PFCRA seems to
contradict the Court's central premise --
that in 1863 the word "person"
did not include States and that scattered
intervening amendments have done nothing
to change that. Ante, at 14-16.
If that were so, the relevant meaning of
the word "person" would be the
meaning adopted by the 1863 Congress, not
the 1986 Congress. And on that premise,
why should it matter what a different
Congress, in a different century, did in a
separate statute? Of course, as described
earlier, see n. 5, supra, I
believe it is the 1986 Congress'
understanding of the word
"person" that controls, because
it is that word as enacted by the 1986
Congress that we are interpreting in
this case. But on the Court's premise, it
is the 1863 Congress' understanding that
controls and the PFCRA should be
irrelevant.
------------------------------------------
Finally, the Court relies on the fact that
the current version of the FCA includes a
treble damages remedy that is
"essentially punitive in
nature." Ante, at 18. Citing
Newport v. Fact Concerts,
Inc., 453 U.S. 247, 262-263, 69 L.
Ed. 2d 616, 101 S. Ct. 2748 (1981), the
Court invokes the "presumption
against imposition of punitive damages on
governmental entities." Ante,
at 18. But as Newport explains,
"courts view punitive damages
[against governmental bodies] as contrary
to sound public policy, because such
awards would burden the very taxpayers
[#801]
and citizens for whose benefit the
wrongdoer was being chastised." 453
U.S. at 263. That rationale is
inapplicable here. The taxpaying
"citizens for whose benefit" the
False Claims Act is designed are the
citizens of the United States, not the
citizens of any individual State that
might violate the Act. It is true, of
course, that the taxpayers of a State that
violates the FCA will ultimately bear the
burden of paying the treble damages. It is
not the coffers [##1878] of
the State (and hence state taxpayers),
however, that the FCA is designed to
protect, but the coffers of the National
Government (and hence the federal
taxpayers). Accordingly, a treble damages
remedy against a State does not
"burden the very taxpayers" the
statute was designed to protect. n11
------------------------------------------
n11 It is also worth mentioning that
treble damages may be reduced to double
damages if the court makes the requisite
findings under §§ 3729(a)(7)(A)-(C).
------------------------------------------
III
Each
of the constitutional issues identified in
the Court's opinion requires only a brief
comment. The historical evidence
summarized by the Court, ante, at
7-10, is obviously sufficient to
demonstrate that qui tam actions
are "cases" or
"controversies" within the
meaning of Article III. That evidence,
together with the evidence that private
prosecutions were commonplace in the 19th
century, see Steel Co. v. Citizens
for Better Environment, 523 U.S. 83,
127-128, 140 L. Ed. 2d 210, 118 S. Ct.
1003, and nn. 24-25 (1998) (STEVENS, J.,
concurring in judgment), is also
sufficient to resolve the Article II
question that the Court has introduced sua
sponte, ante, at 11, n. 8.
As for the State's "Eleventh
Amendment" sovereign immunity
defense, I adhere to the view that Seminole
Tribe of Fla. v. Florida,
517 U.S. 44, 134 L. Ed. 2d 252, 116 S. Ct.
1114 (1996), was wrongly decided. See Kimel
v. Florida Bd. of Regents, 528
U.S.
,
(2000) (STEVENS, J., dissenting) (slip
op., at 6-7); Seminole Tribe, 517
U.S. at 100-185 (SOUTER, J., dissenting).
Accordingly, Congress' clear
intention to subject States to qui tam
actions is also [#802]
sufficient to abrogate any common-law
defense of sovereign immunity. Moreover,
even if one accepts Seminole Tribe
as controlling, the State's immunity claim
would still fail. Given the facts that (1)
respondent is, in effect, suing as an
assignee of the United States, ante,
at 6; (2) the Eleventh Amendment does not
provide the States with a defense to
claims asserted by the United States, see,
e.g., United States v. Mississippi,
380 U.S. 128, 140, 13 L. Ed. 2d 717, 85 S.
Ct. 808 (1965) ("Nothing in [the
Eleventh Amendment] or any other provision
of the Constitution prevents or has ever
been seriously supposed to prevent a
State's being sued by the United
States"); and (3) the Attorney
General retains significant control over a
relator's action, see 162 F.3d at 199-201
(case below), the Court of Appeals
correctly affirmed the District Court's
order denying petitioner's motion to
dismiss. Compare New Hampshire v.
Louisiana, 108 U.S. 76, 27 L. Ed.
656, 2 S. Ct. 176 (1883), with South
Dakota v. North Carolina,
192 U.S. 286, 48 L. Ed. 448, 24 S. Ct. 269
(1904). n12 I would, accordingly, affirm
the judgment of the Court of Appeals.
------------------------------------------
n12 The State argues that this is
essentially an "end run" around
the Eleventh Amendment. Brief for
Petitioner 33. It is not at all clear to
me, though, why a qui tam action
would be considered an "end run"
around that Amendment, yet precisely the
same form of action is not an "end
run" around Articles II and III.
------------------------------------------
End of Opinion.
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