U.S. top court backs contractor KBR in Iraq whistleblower case

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(Adds reaction, details of legal fight) By Lawrence Hurley WASHINGTON, May 26 (Reuters) - The Supreme Court on Tuesday handed a victory to defense contractor KBR Inc in its legal fight with a former employee who filed a whistleblower suit accusing it of defrauding the U.S. government over water purification work in Iraq. The justices ruled 9-0 that a law that extends the time frame for fraud claims committed against the United States during wartime does **t apply to civil claims, meaning former employee Benjamin Carter waited too long to bring his case. Carter, who worked in Iraq as a water purification operator, filed the lawsuit at issue in the case in 2011 under the federal False Claims Act, which allows individuals to sue on behalf of the government and claim a portion of the proceeds if the case is successful.

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