Overview

Overview: business counsel inc

HOLDINGS: [1]-A local public entity and a non-profit public benefit corporation lacked standing to bring a false claims cause of action under Gov. Code, § 12651, subd. (a), because they were not among the governmental persons or entities authorized by Gov. Code, § 12652, to bring such an action; [2]-Allegations that a public official had made contracts on the local entities' behalf for the use of public property by companies in which the official held an economic interest stated a conflict of interest claim under Gov. Code, §§ 1090, 1092, subd. (a), for which disgorgement was an appropriate remedy; [3]-Allegations that the companies conspired with the official to conceal the existence of a consulting agreement from the entities were sufficient to state a cause of action for fraud based on a conspiracy theory of liability because an underlying tort of fraud by concealment was alleged.

Outcome

Affirmed in part, reversed in part, and remanded.