U.S. ex rel. Osheroff v. MCCI Group Holdings, LLC (Summary)

QUI TAM/FALSE CLAIMS ACT

U.S. ex rel. Osheroff v. MCCI Group Holdings, LLC, No. 10-24486-cv-SCOLA (S.D. Fla. Aug. 2, 2013)

The U.S. District Court for the Southern District of Florida granted in part a relator’s motion to enforce settlement, finding that a settlement between the relator and MCCI, a healthcare entity, is subject to enforcement. The relator brought a qui tam action against MCCI, among others, and, after participating in mediation, reached a settlement agreement with MCCI (but no others).  The settlement terms were set forth in a handwritten “Memo of Understanding,” executed by both parties and their counsel.  While more work remained to prepare a final and formal settlement agreement, the parties filed notices of settlement with the court, stating that they had reached a “full settlement” and would be seeking dismissal upon consent of the Government. The agreed upon proposal was never formally presented for the Government’s approval.  The lower court denied the relator’s motion to enforce the settlement due to the parties’ failure to meet the condition that the agreement be approved by the Attorney General. On appeal, the district court reversed and found that the two parties reached an agreement on all essential terms and memorialized them. The court directed the parties to finalize and execute the agreement and then present the executed agreement to the Government.