Stericycle to Pay $26.75 Million to Settle False Claims Act Case

NORTHBROOK, Ill., Oct. 9, 2015 /PRNewswire/ -- Attorneys David Koenigsberg and John Menz of Menz Bonner Komar & Koenigsberg LLP, James T. Ratner of the Law Office of James T. Ratner, and Michael C. Rosenblat of Michael C. Rosenblat, P.C., announced today a settlement of a qui tam lawsuit filed in the Northern District of Illinois against Stericycle, Inc., the Lake Forest, Illinois-based medical waste disposal company.

In 2008, a former Stericycle employee filed a qui tam lawsuit on behalf of the Federal Government and later fourteen states and the District of Columbia.  In that case, brought under the Federal False Claims Act and various equivalent state statutes, the qui tam plaintiff alleged that Stericycle improperly increased its service price to certain government customers by passing on cost increases without contractual authorization.  The matter has now been settled by all parties, which will result in Stericycle paying a total of $26,750,000 to the Federal Government and all affected states to resolve all claims.

According to the settlement agreement, Stericycle denied all allegations raised by the former employee and is settling this matter without admitting fault or wrongdoing.  The parties announced that they agreed to settle the matter to avoid the delay, uncertainty, and expense of continued litigation.   

The law firms of James T. Ratner, Menz Bonner Komar & Koenigsberg LLP, and Michael C. Rosenblat, P.C., have represented whistleblowers in cases under the Federal False Claims Act and related state statutes that have led to recoveries of over $930 million.

SOURCE Michael C. Rosenblat, P.C.

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