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AI Companies, Meet the False Claims Act

06.10.2024

Like many tech companies before them, Artificial Intelligence (AI) companies are rapidly moving into the government contracting industry. Lucrative defense contracts, as well as work related to healthcare, education, and other public goods, are simply worth too much for these companies to ignore. But what too many tech companies are too quick to forget is that with government contracting comes the very strict anti-fraud rules found in the False Claims Act. The statute might be over 150 years old, but the same rules apply. AI companies should not fall into the trap of imagining that the old rules do not apply to them just because they are bringing new technologies into being. As Poppy Alexander writes in The Hill, it’s time for AI companies to learn about the False Claims Act, and to learn to be mindful of the whistleblowers who bring these actions.

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