U.S. ex rel. CIMZNHCA, LLC v. UCB, Inc.

Dist. Ct. erred in denying U.S. govt.’s motion to dismiss relator’s claim under False Claims Act, where govt. sought to intervene and to dismiss instant qui tam action. Relator alleged that defendants illegally paid physicians for prescribing or recommending Cimzia to treat Crohn’s disease and provided said physicians with illegal kickbacks in form of free education services and free reimbursement support services. Under section 3730(c)(2)(A), govt. has right to dismiss instant action over relator's objection if relator is provided notice and opportunity for hearing, and govt., in its motion to dismiss, argued that dismissal was appropriate because relator’s claim lacked sufficient merit to justify cost of investigation and prosecution and was otherwise contrary to public interest. Ct. of Appeals has jurisdiction to consider denial of govt.’s request to intervene and dismiss, even after govt. had failed to intervene at beginning stage of litigation. Moreover, govt.’s motion to dismiss should have been granted with prejudice as to relator’s claim and without prejudice as to govt.’s claim, since: (1) govt. met all requirements set forth in section 3730(c)(2)(A), where relator received notice and opportunity to be heard at hearing; and (2) Dist. Ct. erred in applying arbitrary and capricious standard to govt.’s motion. Fact that govt. failed to make particularized dollar-figure estimate of potential costs and benefits of relator’s lawsuit did not require different result.