Contractors Providing Nonconforming Goods
Atlanta FCA Lawyer: (888) 581-9132
Do you know about a company that is sending nonconforming goods –
goods that do not comply with contract specifications – to the Government?
When the Government spends our tax dollars, it has the right to get what
it paid for. The contractor does not have the right to substitute or change
the order without permission from the United States. If you have evidence
that a contractor has done that, you can file a False Claims Act lawsuit.
You not only can make sure the Government does not get ripped off –
you can get 25%-30% of what the Government recovers as a result of the fraud.
Under the False Claims Act, “relators” can file what is called
a “qui tam” lawsuit, which means that the whistleblower files
the case on behalf of the United States. Lee Wallace graduated first in
her class at Vanderbilt University, and she combines her Harvard and Vanderbilt
educations with her 20 years of experience to help whistleblowers bring
FCA cases that
stop fraud against the Government.
FREE evaluation with our lawyer today.
Real FCA Cases Against Contractors
In the past, numerous companies have been held accountable under the False
Claims Act when they submitted non-conforming goods to the United States.
This web page is designed to help you understand more about the history
of this area of the law by describing real cases that have been brought
under the Act.
Below are real examples of cases against contractors who submitted nonconforming products:
Brake shoes for Army Jeeps: In United States ex rel. Lyle Compton v Midwest Specialties, Inc., 142
F.3d 296 (6th Cir. 1998), a company was sued under the False Claims Act
for delivering brake-shoe kits for United States Army Jeeps without fully
testing them before delivery.
Aircraft bearings: The U.S. won $381,838.36 from Aerodex in a False Claims Act lawsuit. U.S.
v. Aerodex, Inc., 469 F.2d 1003 (5th Circuit 1973). The Navy had contracted
to buy aircraft bearings from Aerodex. Instead of supplying the kind the
Navy had ordered, Aerodex reworked a different bearing, which looked like
the one that was ordered, and sent the substitute bearing instead. When
it learned that the bearings were not what it had ordered, the Navy had
to rip out bearings it already had installed on aircraft.
Fuses for bunker buster bombs: In 2009, the U.S. filed an FCA Claim Against Kaman Dayron, Inc. The U.S.
said that Kaman Dayron had used non-conforming parts in “fuzes,”
which the U.S. explained were “sophisticated ignition devices incorporating
mechanical and/or electronic components.” The devices were for “bunker
buster” bombs used by the military to penetrate hard targets. The
Government said that the non-conforming parts had bellows motors that
could cause the fuses to fire too early, which obviously could create
a serious danger for the military personnel who were handling the bombs.
Kaman Dayron settled the case for $4.75 million, and agreed to a termination
for default on its contract with the Government. The company also was
put on a monitored compliance program to insure that it did not repeat
the same sort of conduct with other contracts.
Buy American Act Violations: CS Business Systems paid the U.S. $65,000 to resolve a suit under the
FCA. The company had agreed to comply with the Buy American Act when it
provided flash memory cards to the Naval Air Weapons Center, located in
a California town called China Lake. According to the U.S., the Navy rejected
cards that had been manufactured in Malaysia. CS Business agreed to send
new flash memory cards, but when it did, it still sent cards that had
been manufactured in Malaysia – although this time CS Business falsely
labeled the cards with the name of an American manufacturer.
Do you have evidence that a contractor is cheating the Government? Lee
Wallace is the former President of the Georgia Association for Women Lawyers,
and for many years has been named one of the Top 100 Trial Lawyers in
Contact a whistleblower lawyer today to get help with your qui tam case.