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FCA Settlements Demonstrate Importance of Cybersecurity Controls Imposed by Contract

Members Scott Lashway, Laurence Freedman, and Special Counsel Matthew Stein published an article in Bloomberg Law about how recent False Claims Act (FCA) settlements show a focus on cybersecurity enforcement. In the article, they outline how organizations with government contracts can mitigate the risk of cybersecurity-related FCA investigations and litigation. 

The authors write, “These settlements, and the DOJ's decision to use the FCA to enforce federal cybersecurity standards, ratchet up already existing obligations. But at the same time, connected systems are the front lines of a new cold, quasi-war conducted in cybersecurity, and organizations that perform services for state and federal governments are on those front lines and need to act carefully, and thoughtfully, in performing their contracts with the government.”

Source

Bloomberg Law