SOX Whistleblower Protection Extends To Lawyers

The Supreme Court in March ruled that Sarbanes-Oxley whistleblower retaliation protections extend to public company contractors and subcontractors. Brandon Gee, writing in New England In-House, notes that the decision, Lawson, et al. v. FMR LLC, et al. explicitly includes attorneys in the contractors and subcontractors who are so protected. The articles quotes one attorney who says that he’s seen an uptick in cases where in-house attorneys or compliance officers bring whistleblower claims, and that his own clients have been shocked when they find that those whom they “charged with protecting them – and therefore shared their most cherished secrets with – can then use those against them.” The ethics codes of some states, however, include language that would bar attorney whistleblowing on the grounds it would disclose client confidences. The Lawson decision, notes one law school professor, “could create troubling and confusing situations.”