§142.6. What does the phrase “know or have reason to know” mean?

13 C.F.R. § 142.6

A person knows or has reason to know (that a claim or statement is false) if the person:

(a)

Has actual knowledge that the claim or statement is false, fictitious, or fraudulent; or

(b)

Acts in deliberate ignorance of the truth or falsity of the claim or statement; or

(c)

Acts in reckless disregard of the truth or falsity of the claim or statement.

Notes, amendments, and revision history

Authority: 15 U.S.C. 634(b); 31 U.S.C. 3803(g)(2).

Source: 61 FR 2691, Jan. 29, 1996, unless otherwise noted.