The Assembly Committee on Labor on Wednesday, March 10 (10:00 a.m.) will hold a public hearing on AB 792, relating to false claims submitted to state and local governments.

WCJC opposes AB 792 because it encourages abusive litigation by providing incentives for plaintiffs’ attorneys to bring lawsuits on behalf of the state. WCJC further opposes AB 792 because it is unnecessary – existing laws provide meaningful avenues for the state to prosecute those who file false claims.

False claims (also known as qui tam) laws are a favorite tool of plaintiffs’ lawyers to sue, on behalf of the state, companies that allegedly commit fraud by submitting false claims for payment. These laws essentially turn private individuals into bounty hunters for the state, often with multi-million dollar rewards.

AB 792’s companion bill (SB 447) is currently in the Joint Finance Committee.

Assembly Committee on Labor Public Hearing

Wednesday, March 10
10:05 AM
225 Northwest
State Capitol