False Claims Act enforcement accelerates in 2026 amid judicial uncertainty, Hogan Lovells reports in 10th annual FCA Guide

This year’s Guide, marking its 10th anniversary, highlights key FCA developments from last year and looks ahead to the issues expected to shape the landscape in 2026, signaling a notable shift in tone and a more unpredictable landscape overall.

Hogan Lovells partner Jonathan Diesenhaus, co-editor of the FCA Guide, said he anticipates robust FCA activity to continue in 2026. "Initiatives and investigations launched in 2025 show that the Trump Administration plans to use the FCA aggressively, in ways that support its policy goals." A May 2025 DOJ memorandum announcing the launch of the Civil Rights Fraud Initiative described the FCA as the "primary weapon" of the DOJ in the fight against fraud, waste, and abuse.

FCA Guide co-editor and Hogan Lovells partner Mitch Lazris added, "We can expect FCA enforcement only to intensify in the year ahead." As such, this year's guide focuses on shifting enforcement priorities and outlines how the current Administration is harnessing the power of the FCA to target Diversity, Equity, and Inclusion (DEI); gender-affirming care; cyberfraud; and tariff avoidance.

Michele Sartori, Hogan Lovells partner and FCA Guide co-editor noted, "As we move into 2026, we turn our focus to how the courts will evaluate the DOJ’s novel applications of the law in light of existing FCA jurisprudence."

As questions about the constitutionality of qui tam provision may dictate how FCA cases will be initiated in the years ahead, questions about "materiality" seem poised to dictate how these cases will resolve. As the Administration works to scrutinize compliance with its policy pronouncements through the enforcement lens of the FCA, the Guide will examine how judges assess the materiality in federal programs, foreshadowing how courts might analyze the nexus between new policy and longstanding payment rules and practices.

Key topics covered by the FCA Guide include:

• The Trump Administration’s new priorities for FCA enforcement, outlining how policy objectives are shaping investigative focus and case selection.
• Rising tariffs spur trade-focused qui tam litigation, assessing trade, customs, and whistleblower-driven trends.
• The DOJ’s Civil Cyber-Fraud Initiative rolls on, examining ongoing cybersecurity-related FCA exposure for contractors and grantees.
• State AGs ramp up state FCA enforcement, highlighting increased state-level activity and coordination with federal authorities.
• Circuit splits driving FCA health care litigation, exploring trends following the Supreme Court's SuperValu decision and the potential for further judicial review.

2025 was a norm-breaking year for the FCA, with recoveries reaching a record US$6.8 billion—driven largely by health care, which accounted for about 84%, roughly US$5.7 billion, from settlements and judgments involving federal health care program dollars. The surge also reflected major relator-won jury verdicts in non-intervened qui tams, alongside a jump in new actions filed (1,297 in 2025 vs. 980 in 2024), with most recoveries stemming from qui tam-originated matters (US$5.3 billion of the US$6.8 billion total). High-dollar trial victories for qui tam whistleblowers in 2025 are also likely to fuel both new filings, and significant legal developments in the year ahead.

Hogan Lovells will be hosting a live webinar discussion on the year’s most important FCA developments and what companies should expect in the year ahead on Thursday, March 12.

Read the FCA Guide here.