July 31, 2000 — Massachusetts Adopts False Claims Act

The Commonwealth of Massachusetts has adopted a False Claims Act which, similar to a Federal False Claims Act, provides for monetary rewards to people who file claims to expose frauds which have been committed against Massachusetts.

Under the Act, a person, known as a “Relator,” who is aware of a fraud which has been committed against the Commonwealth can file a lawsuit to recover triple the amount defrauded, plus a civil penalty of $5,000 to $10,000 for each false claim which a defendant has submitted to the Commonwealth as part of the fraud.

As a reward, the person filing such a claim generally becomes entitled to a monetary reward, typically between 15% and 30% of the monies recovered by the Commonwealth.

The Massachusetts False Claims Act was written by Attorney General Tom Reilly’s Office, and sponsored by State Representative Daniel E. Bosley (D- North Adams).

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