Menu
Search
Home
Blog
Whistleblower
Sarbanes-Oxley Whistleblowers Must Act Quickly
Sarbanes-Oxley Whistleblowers Must Act Quickly

Sarbanes-Oxley Whistleblowers Must Act Quickly

Congress passed the Sarbanes-Oxley Act of 2002 (“SOX”) in wake of several financial scandals at large American companies. Because whistleblowers at these companies disclosed much of the information that ultimately exposed the companies’ financial wrongdoing, Congress implemented stronger protections for whistleblowers at publically traded companies.

The Sarbanes-Oxley Act protects employees who provide information or assist in an investigation regarding conduct which they reasonably believe constitutes mail fraud, wire fraud, bank fraud, securities fraud, a violation of any rule or regulation of the Securities and Exchange Commission (“SEC”), or any federal law relating to fraud against shareholders. SOX protects employees who make such disclosures to a supervisor, an internal investigator, a federal regulatory or law enforcement agency, or Congress.

However, to claim whistleblower protection under SOX, a potential whistleblower should be prepared to act quickly in the event the company retaliates. Whistleblowers under SOX have only 180 days to notify OSHA within the Department of Labor that their employer has taken adverse action against them because of their protected whistleblowing.

The Dodd-Frank Act Wall Street Reform and Consumer Protection Act of 2010 (“Dodd-Frank”) also grants protections to certain whistleblowers, including those who make disclosures protected under SOX.

Dodd-Frank has a longer statute of limitations and more generous remedies. However, there is currently a debate among the courts regarding whether Dodd-Frank covers an employee who only discloses internally, such as to a supervisor, and not externally to the SEC. Until the courts resolve the debate over Dodd-Frank’s coverage, potential whistleblowers should be aware that that they should contact a lawyer quickly after any retaliatory conduct by the company to preserve their rights.

SHARE ON
facebook twitter instagram

Recent Posts

Call Us!

DISCUSS YOUR SITUATION

415-551-0885

Our Team

Our Awards

CONTACT US TODAY

If you are looking for advice or representation, please contact us today using the form below and we will promptly respond to your inquiry.

Attorney Advertising. This information is designed for general information only. The information presented should not be construed to be formal legal advice nor the formation of a lawyer/client relationship. Past results and testimonials are not a guarantee, warranty, or prediction of the outcome of your case, and should not be construed as such. Past results cannot guarantee future performance. Any result in a single case is not meant to create an expectation of similar results in future matters because each case involves many different factors, therefore, results will differ on a case-by-case basis. By providing certain contact information herein, you are expressly authorizing the recipient of this message to contact you via the methods of communication provided.

NUVEW | Copyright 2022 All Rights Reserved | Accessibility Notice | Privacy Statement

×
Call Now Button