“Defending DEI programs against DOJ's civil rights fraud initiative,” Westlaw Today
Publications
August 19, 2025
In an article published on Westlaw via Reuters, Partners Carolyn Small and Betsy Henthorne and Associate Rebekah Lee examine the Department of Justice’s newly launched Civil Rights Fraud Initiative and the growing enforcement risks it poses for organizations that receive federal funding and operate diversity, equity, and inclusion (DEI) programs.
The authors analyze the DOJ’s novel use of the False Claims Act (FCA) against recipients of federal funds allegedly violating civil rights laws. As they explain, recipients of federal funds may now face FCA scrutiny based on DEI-related certifications—marking a significant shift from the statute’s traditional focus on financial fraud.
The article outlines how organizations can defend against this new line of enforcement by relying on established FCA elements: falsity, scienter, and materiality.
“Organizations should act promptly to develop a comprehensive defense strategy, including documenting good-faith compliance efforts, preserving evidence of how DEI programs were implemented and disclosed, and preparing to challenge each element of the government's case,” the authors conclude.
Related Attorneys
Related Locations
© 2026 Jenner & Block LLP. Attorney Advertising. Jenner & Block LLP is an Illinois Limited Liability Partnership including professional corporations. This publication, presentation, or event is not intended to provide legal advice but to provide information on legal matters and/or firm news of interest to our clients and colleagues. Readers or attendees should seek specific legal advice before taking any action with respect to matters mentioned in this publication or at this event. The attorney responsible for this communication is Brent E. Kidwell, Jenner & Block LLP, 353 N. Clark Street, Chicago, IL 60654-3456. Prior results do not guarantee a similar outcome. Jenner & Block London LLP, an affiliate of Jenner & Block LLP, is a limited liability partnership established under the laws of the State of Delaware, USA and is authorised and regulated by the Solicitors Regulation Authority with SRA number 615729. Information regarding the data we collect and the rights you have over your data can be found in our Privacy Notice. For further inquiries, please contact dataprotection@jenner.com.
Publications
August 19, 2025
In an article published on Westlaw via Reuters, Partners Carolyn Small and Betsy Henthorne and Associate Rebekah Lee examine the Department of Justice’s newly launched Civil Rights Fraud Initiative and the growing enforcement risks it poses for organizations that receive federal funding and operate diversity, equity, and inclusion (DEI) programs.
The authors analyze the DOJ’s novel use of the False Claims Act (FCA) against recipients of federal funds allegedly violating civil rights laws. As they explain, recipients of federal funds may now face FCA scrutiny based on DEI-related certifications—marking a significant shift from the statute’s traditional focus on financial fraud.
The article outlines how organizations can defend against this new line of enforcement by relying on established FCA elements: falsity, scienter, and materiality.
“Organizations should act promptly to develop a comprehensive defense strategy, including documenting good-faith compliance efforts, preserving evidence of how DEI programs were implemented and disclosed, and preparing to challenge each element of the government's case,” the authors conclude.
Related Attorneys
Related Locations
© 2026 Jenner & Block LLP. Attorney Advertising. Jenner & Block LLP is an Illinois Limited Liability Partnership including professional corporations. This publication, presentation, or event is not intended to provide legal advice but to provide information on legal matters and/or firm news of interest to our clients and colleagues. Readers or attendees should seek specific legal advice before taking any action with respect to matters mentioned in this publication or at this event. The attorney responsible for this communication is Brent E. Kidwell, Jenner & Block LLP, 353 N. Clark Street, Chicago, IL 60654-3456. Prior results do not guarantee a similar outcome. Jenner & Block London LLP, an affiliate of Jenner & Block LLP, is a limited liability partnership established under the laws of the State of Delaware, USA and is authorised and regulated by the Solicitors Regulation Authority with SRA number 615729. Information regarding the data we collect and the rights you have over your data can be found in our Privacy Notice. For further inquiries, please contact dataprotection@jenner.com.
News and Insights
Podcasts
Partner Laurel Loomis Rimon Discusses Fintech Enforcement, Debanking, and Regulatory Risk on Fintech Layer Cake Podcast
Partner Laurel Loomis Rimon was featured on the Fintech Layer Cake podcast, where she discussed how fintech enforcement and prosecution actually work in practice, and what exposes fintechs and banks to regulatory risk.
July 15, 2026
Publications
Supreme Court Clarifies Scope of Private Rights of Action Under the Investment Company Act, Private Equity Law Report
Partners Charles Riely, Todd C. Toral, and Martin Glass authored a guest article for Private Equity Law Report examining the US Supreme Court's June 11, 2026, ruling on the scope of private rights of action under the Investment Company Act of 1940.
July 14, 2026
Publications
Emily Loeb Discusses Congressional Oversight Preparedness in Bloomberg Law
Partner Emily Loeb, co-chair of Jenner & Block's Congressional Investigations Practice, spoke with Bloomberg Law article about how companies can prepare for potential oversight exposure ahead of this fall's midterm elections.
July 7, 2026
Publications
In New York Law Journal, The True Lender Doctrine and the OppFi Decision
Partners Jeremy Creelan, Michael Ross, Megan Poetzel, and Laurel Loomis Rimon, and Associate Molly Oberstein-Allen authored an article for the New York Law Journal examining the "True Lender" doctrine in light of a May 2026 California decision that provides the most detailed judicial framework to date for evaluating bank-nonbank lending partnerships.
July 1, 2026
Event
Partner Michael Vernick to Speak at NACUA's 2026 Annual Conference
On July 1, Partner Michael Vernick will speak on a panel at the National Association of College and University Attorneys (NACUA) 2026 Annual Conference in Nashville.
July 1, 2026