Supreme Court decision clarifies framework for whistleblowers filing claims under the Sarbanes-Oxley Act. Plaintiffs need to prove only that their whistleblower activity was a contributing factor in their termination, but still must ultimately show causation.
Articles Discussing Employee Whistleblowers.
U.S. Supreme Court Decision Could Make it Harder for Employers to Defend Whistleblower Claims
Executive Summary: The U.S. Supreme Court recently held that a whistleblower under the Sarbanes Oxley Act of 2002 (SOX) is not required to prove the employer acted with retaliatory intent to prevail on a whistleblower claim. See Murray v. UBS Sec., LLC, 2024 WL 478566 (Feb. 8, 2024).
Supreme Court Rules ‘Retaliatory Intent’ Not Required for Securities Whistleblower Protection
On February 8, 2024, the Supreme Court of the United States issued a decision holding that whistleblowers are not required to show “retaliatory intent” to be protected under the Sarbanes-Oxley Act of 2002, differentiating the securities whistleblower law from other federal antidiscrimination laws.
Unanimous Supreme Court Bolsters Whistleblower Claims
SEC Takes on Nondisclosure Agreements to Protect Whistleblower Program; Fines Firm $10 Million
The U.S. Securities and Exchange Commission (SEC) in recent years has taken an aggressive stance against employers over employment agreements that the agency believes impede its whistleblower program—as highlighted by a $10 million fine in 2023 imposed on an investment firm over its inclusion of nondisclosure and confidentiality provisions.
SEC Fines Private Employer for Language in Employee Separation Agreements That Restricted Whistleblower Awards
The U.S. Securities and Exchange Commission (SEC) recently settled charges alleging that a company’s employee separation agreements restricted former employees from receiving monetary awards for reporting securities law violations. The case is the SEC’s latest enforcement action alleging that certain employment agreements and related policies undermine the SEC’s whistleblower program.
Whistleblower Implications of Titanic Proportions
While the world held its collective breath last month as search teams desperately looked for a missing submersible carrying five Titanic tourists, news reports began circulating of a former OceanGate director of marine operations who was allegedly fired for raising safety concerns years earlier regarding that same vessel. Sadly,
Whistleblowers and Trade Secrets: Does the DTSA Protect Confidential Data?
Employers often go to great lengths to protect company documents and communications concerning and discussing confidential trade secret information. But what happens when employees leave, bring a whistleblower claim, and the employer learns they have sent themselves numerous confidential communications containing trade secret information? What about when an employee later
New Law Rewarding Whistleblowers May Lead to Substantial Increase in Whistleblower Claims
In conjunction with an omnibus spending bill, Congress passed in late December 2022, the Anti-Money Laundering Whistleblower Improvement Act, which on December 29, 2022, President Biden signed into law. This law permits whistleblowers to receive 10% to 30% of any monetary sanction the government imposes over $1 million for money
SEC Fines Activision Blizzard $35M for Whistleblower Infractions
Activision Blizzard, the video game company that produced popular games including Call of Duty and Guitar Hero, has been fined $35 million by the U.S. Securities and Exchange Commission for violating whistleblower protection rules. Just last year, the company paid $18 million to settle an EEOC lawsuit regarding claims of
New Anti-Money Laundering Whistleblower Improvement Act Expands Coverage and Strengthens Incentives for Whistleblowers
On December 29, 2022, President Biden signed a new whistleblower law that significantly increases the risk and cost of whistleblower claims for domestic and overseas financial services institutions that must be cognizant of anti-money laundering (AML) laws and regulations. This covers 26 categories of institutions, including banks, branches and
Littler World Cup Matchups Part 5: Whistleblower Protections
ExxonMobil Ordered to Pay $800k to Whistleblowers
Earlier this month, The Department of Labor’s Occupational Safety and Health Administration (OSHA) ordered ExxonMobil Corp. to reinstate two whistleblowers who were fired from the oil company in 2020, after raising concerns about the company’s financial practices. The company was also ordered to pay their former employees over $800,000 in
Female Whistleblower Fired from the New Yorker After Calling Out Workplace Inequity
On July 25, 2022, Erin Overbey — a former archives editor at the New Yorker — took to Twitter to share news of her termination from the magazine. Overbey, who had previously spoken up about gender and race inequity within her work environment, was placed on “performance review” shortly after