Private Employers and Expanded SOX Whistleblower Reach: Mitigating Risks after New Supreme Court Ruling

Description

Initially, the Sarbanes-Oxley anti-retaliation provisions applied primarily to publicly held companies. However, the Supreme Court's Lawson ruling made it clear that the employee retaliation protection now applies to a wide array of private employers. This ruling extended the law's reach to millions of private companies that are "contractors," "subcontractors" or "agents" of a publicly held company—who does and does not come under those definitions remains unclear.

Defending against a retaliation claim is a lengthy and complicated process due to the levels of administrative review available to complainants. Even meritless complaints are expensive and burdensome for companies—in time, expense and distraction. With OSHA's new online filing system launched Dec. 13, retaliation claims are rising this year.

Employment counsel now face tough questions from private employer clients and must prepare preventive measures and defense plans against claims. If the claimant prevails, the employer faces liability for back pay, compensatory damages, attorneys’ fees and reinstatement. As such, counsel to privately held businesses impacted by this ruling must take action now to implement and enforce compliance programs to minimize exposure.

Listen as our distinguished panel reviews SOX anti-retaliation requirements as they now apply to a great number of private companies. The panelists will review the Supreme Court case that has opened the door to this new exposure and recommend best practices for compliance and avoidance of retaliation claims. Finally, the panelists will provide defense techniques when a claim is filed in administrative tribunals and federal court.