August 18, 2017 / 8:13 PM / a year ago

Despite qui tam win, U.S. must pay contractor's legal fees over unreasonable damages quest

A divided U.S. appeals court on Friday said the government must cover about $500,000 in legal fees incurred by an Army contractor that it sued for underpaying workers, saying seven-figure damages the government sought were “fairyland rather than actual.”

The 6th U.S. Circuit Court of Appeals in the 2-1 ruling said that the government had to pay Circle C’s fees even though it won the case because the government’s decade-long quest for $1.66 million in damages was unreasonable.

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