3/07/16 – A federal judge has dismissed part of the federal government’s civil fraud lawsuit against Lance Armstrong, giving the disgraced cyclist a small but potentially significant victory in a case that still could cost him $100 million.

The ruling – finalized Monday – throws out the government’s argument that Armstrong’s cycling team had an obligation to pay back sponsorship money it received from the U.S. Postal Service.

Under the law of “reverse” false claims, the government had argued that the team was required to return this money because it breached its sponsorship contract by using banned drugs and blood transfusions to enhance its performance.

But U.S. District Judge Christopher Cooper disagreed, ruling that the notion of reverse false claims should be more narrowly applied and didn’t fit this case.  He dismissed it Monday in summary judgment.

“The government … contends – again – that long-established principles of contract and restitution law obligated (the cycling team owner) to repay any funds attributable to a breach of the Sponsorship Agreement,” Cooper wrote. “The Court rejected this view after considerable briefing.”

As a result, the government might have a harder time proving it was defrauded and suffered damages from Armstrong’s banned doping practices as a member of the USPS cycling team. Several other parts of the government’s case against Armstrong are still in play, including its allegation that the cycling team made direct false claims for payment to the USPS. Read more