Overview
In an opinion yesterday, Judge Furman joined four other judges (including Judge Sand) in ruling that the whistleblower protections of the Dodd-Frank Act cover an employee’s reporting alleged misconduct to his or her employer, and rejected an argument by the defendant, UBS, that the protections apply only to reports to the SEC. Judge Furman found there was a “tension” between two provisions of the Act — one that “limits the definition of ‘whistleblower’ to one who makes a disclosure to the SEC, and [another], which contemplates a broader scope of protection.” The SEC passed regulations stating that the broader protections were available, and Judge Furman concluded that the SEC’s regulations were entitled to deference.
