In a qui tam action, what percentage of the settlement is the relator entitled to receive?

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In a qui tam action, the relator, or whistleblower, is entitled to a portion of the settlement or judgment recovered as a result of their action. The percentage that the relator receives typically falls within the range of 15% to 30% of the total recovery. This incentive is designed to reward individuals for bringing forward information about fraud against the government, especially in the context of health care or federal contracts.

The rationale behind this percentage division is to encourage individuals with knowledge of such fraudulent activities to report them without bearing the financial burden of taking legal action alone. By establishing a structured incentive, the law intends to promote the reporting of fraud and ultimately protect public funds.

While it's important to note that the amount can vary based on several factors such as the involvement of the relator, the extent of the wrongdoing, and whether the government intervened in the suit, the 15-30% range is the standard guideline recognized in qui tam cases.

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