AB 2492 Summary

• Expanded the definition of "claim" to include requests for money, property, or services made to contractors or grantees if state or political subdivision funds are involved or will be used for government purposes.

• Increased civil penalties for False Claims Act violations from $5,000-$10,000 to $5,500-$11,000 per violation, with liability remaining at three times the actual damages sustained.

• Added employee protections requiring relief (reinstatement, back pay, damages, attorney's fees) for workers discharged, demoted, or discriminated against for reporting false claims or participating in False Claims Act actions.

• Modified statute of limitations to allow civil actions within six years of violation or three years after material facts are known, whichever is later, but not more than ten years after violation.

• Authorized courts to reduce recovery shares for qui tam plaintiffs (private whistleblowers) who planned and initiated the violations they are suing over, while capping their recovery at 33-50% depending on government participation in the case.