Whistleblower or employee who just lost a job? The U.S. Court of Appeals for the Eight Circuit in St. Louis is attempting to clarify whether a claimant qualifies as a whistleblower—and thus protection from retaliation—under the Dodd-Frank Act when he or she does not complain directly to the U.S. Securities and Exchange Commission, according to Nick Beermann of Jackson Lewis in a recent blog post.
In the case, the plaintiff was an executive who sued her former employer and alleged it violated whistleblower protection rules when she was terminated. But the employer, COR Clearing LLC, objected to the claim and asked that it to be dismissed, arguing the plaintiff didn’t directly go to the SEC and thus wasn’t subject to its protection. A federal magistrate recommended dismissal, the plaintiff objected and the district court ruled in favor of the plaintiff, explains Beermann.
