VirginLaw > 2014 > July

The Blog

  • Can you file a QUI TAM ACTION in the U.S. Virgin Islands?

    Under the False Claims Act (FCA) a private person (relator) may bring a qui tam civil action ‘in the name of the Federal Government” against “any person, who, inter alia, “knowing presents. . . to the. . . the . . .Government… a false or fraudulent claim for payment or approval.” 31 U.S.C. Section 3729(a). Most states have a False Claims statute. The Virgin Islands Legislature has not enacted a local false claims statute. Residents of the Virgin Islands however may file a qui tam action on behalf of the federal government, if federal funds are implicated.

    What is a Qui Tam Action?

    Qui tam is a type of lawsuit that a private person may bring against, an individual, a private company, or a municipal corporation (agency of the government) that is defrauding the federal government and recover funds on the behalf of the federal government. The qui tam action is filed under seal, i.e. it is kept secret, to give the U.S. Justice Department an opportunity to investigate the allegation of fraud. If the claims succeed, the relator’s share may be up to 30 percent of the proceeds of the action, plus reasonable expenses, costs, and attorneys’ fees.

  • Your Resident Agent-Virgin Islands

    Your Registered Agent Matters to Your Success

                In the United States Virgin Islands, every corporation must have a “registered agent.”  A registered agent is a person designated to receive legal documents on behalf of the company and must be located in the Virgin Islands.  Many companies choose Virgin Islands law firms to serve as their registered agents.  The registered agent is the first to receive and review court documents if the company is involved in a lawsuit in the Virgin Islands.  This serves two important purposes for the company.  First, it reduces the danger of a default judgment if court documents are not responded to in a timely manner.  Second, it eliminates the potential embarrassment or harm to reputation caused by having court documents served at your place of business.  The law also serves to protect consumers or other business partners by ensuring a company cannot “hide” from lawsuits by providing a false address or business location.  Choosing a resident agent that is well established in the Virgin Islands community can give a business owner peace of mind that legal issues involving the company are addressed quickly and appropriately.    Our law firm can provide you with a resident agent. Please contact us for further information.