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Sixth Circuit Holds That Contractual Provision Limiting Boeing Liability For Damages Does Not Prevent Government From Recovering Treble Damages Under The Civil False Claims Act

 By Fried, Frank, Harris, Shriver & Jacobson LLP

On September 12, 2002, a divided panel of the Sixth Circuit Court of Appeals affirmed an appeal from the Southern District of Ohio, holding that the United States was not precluded from recovering damages from Boeing Co., under the civil False Claims Act ("FCA"), despite a High-Value Items Clause (HVIC) in Boeing's contract that expressly limited contractual liability for damages to high-priced items.

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