Back in 1995, the United States Postal Service (USPS) sponsored the cycling team headed by Lance Armstrong, its top rider. In 2000 Lance Armstrong won the Tour de France and the USPS renewed its sponsorship of the team so long as Armstrong remained part of it. The USPS paid about $32 million to the team from 2000 to 2004. Problems arose however after it was revealed that the riders used performance-enhancing drugs (PEDs) which was contrary to the contract with the USPS which required the riders to comply with the rules of professional cycling and be drug free.
In 2010, Armstrong’s former USPS teammate Floyd Landis filed a False Claims Act lawsuit against Armstrong[i] and others accusing them of violating the False Claims Act because of their PED use and their failure to disclose it.
In 2013, Armstrong admitted to his use of PEDs. The United States is now seeking almost $100 million in damages. Continue reading