A District Court in the Eastern District of Texas recently denied a motion to dismiss brought by DaVita, Inc. The Court expressly distinguishes between overfill utilization and overfill billing. The Court concluded that the Government's general awareness of the former practice by some dialysis providers did not condone or excuse participation in the latter, illegal practice which includes billing for costs not incurred (see pages 12-18). The Court addressed the issue of what is a factually false claim compared with a legally false claim.
Click here for the District Court's memorandum.