Supreme Court of the United States

Vermont Agency of Natural Resources v. United States ex rel. Stevens

May 22, 2000529 U.S. 765

Summary

The Court, in an opinion by Justice Scalia joined by Chief Justice Rehnquist and Justices O'Connor, Kennedy, Thomas, and Breyer, held that a False Claims Act qui tam relator has Article III standing as a partial assignee of the United States' damages claim, but that States and state agencies are not subject to liability in such private actions. The Court resolved the statutory issue before the Eleventh Amendment defense and left that constitutional question open. Justice Breyer separately stated that he joined both the Court's opinion and Justice Ginsburg's opinion. Justice Ginsburg, joined by Justice Breyer, concurred in the judgment, agreeing with relator standing and the absence of a clear statement authorizing private suits against States, while emphasizing that suits brought by the United States itself remained an open question. Justice Stevens, joined by Justice Souter, dissented, concluding that the statutory text and history included States and that sovereign immunity did not bar the action.

Holding

  • Article III standing of a False Claims Act qui tam relator.. A private qui tam relator has Article III standing to pursue the United States' damages claim under the False Claims Act.
  • Order of consideration of statutory coverage and Eleventh Amendment immunity.. The Court may decide whether the False Claims Act authorizes suits against States before deciding whether the Eleventh Amendment forbids those suits.
  • State liability in privately initiated False Claims Act qui tam actions.. The False Claims Act does not subject a State or state agency to liability in a qui tam action brought by a private individual.

Docket 98-1828

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