Alderson v. United States

ORDER GRANTING DEFENDANT’S MOTION FOR SUMMARY JUDGMENT [11]; DENYING PLAINTIFFS’ MOTION FOR SUMMARY JUDGMENT [17]

STEPHEN V. WILSON, District Judge.

I. INTRODUCTION

Plaintiffs seek to obtain a tax refund by characterizing their False Claims Act qui tam award as capital gains rather than ordinary income. Plaintiffs’ Complaint presents a question of first impression

II. FACTS

Plaintiff Jim Alderson was the Chief Financial Officer for the North Valley Hospital in Whitefish, Montana. Beginning in 1990, Quorum Health Group, Inc. (“Quorum”) took over management of the hospital. Quorum instructed…