Tort Action, Lawsuit & Implications in Government Agencies

In cases reported in media every day, we hear of potential situations where federal, state and local governments may be acting in bad faith. Within these organizations, there are countless reports of fraud and unethical conduct by state, federal and local employees. If own a business, and you have been involved in a questionable action with a state, local or federal government agency, it is important to understand what tort action involves and how it may affect the defense of a government agency.

Because government organizations are created, in theory, on the premise to act in the best interest of social and public policy, they often carry immunity in terms of potential suits for tort action. When suit is permitted to be filed, most laws require that suit be filed within 90 days of the stated tort offense. Therefore, if you are uncertain about the implication your business relationship may have with a state, local or federal organization, be sure to consult an attorney who specializes in these types of tort actions and is familiar with the statute of limitations that may apply.

One of the key factors in determining if a tort action can be filed against a government organization lies in the action which is considered to be in bad faith and whether that action is one that is a proprietary function or one that is a government function. As a general rule, if the government entity has assumed the responsibility for a proprietary function, then any acts of bad faith may be deemed suitable for litigation. For this reason, many government entities will outsource services that are proprietary in nature so as to alleviate some degree of risk for tort action.

In situations of tort action by a federal government division, the lawsuit for bad faith will be filed under the Federal Tort Claims Act. So, even if you determine the act is proprietary, and can be included in a tort action, the Federal Tort Claims Act may also place some restriction on your ability to file suit.