Understanding Legal Protections For Whistleblowers

If you are contemplating blowing the whistle on your employer, your vendor, your health care provider, or an individual and hiring a lawyer to file a False Claims Act action, you should be aware of whistleblower protection. Fischer Legal Group focuses on assisting clients with complex litigation needs, including actions under the False Claims Act, the Whistleblower Protection Act and the Sarbanes-Oxley Act. Our knowledge and experience help you feel confident that you will not be harmed for stepping forward and disclosing wrongdoing on the part of your employer or another entity.

Fischer Legal Group has a well-established reputation as attorneys who represent whistleblowers, regardless of the type of act under which they are making their claim. Our firm represents clients in New York and Florida, and our experience as business litigators makes us formidable counsel who are ready to take on companies or organizations that would lash out at an employee who wants to expose misconduct. To learn more, please contact us today.

Key Whistleblower Protection Laws

Qui tam is shorthand for qui tam pro domino rege quam pro se ipso in hac parte sequitur, a Latin phrase meaning “he who brings an action for the king as well as for himself.” It is the traditional term for the idea that individuals who report fraud against the government have the right to share in the government’s receipt of the monies owed to it by the defendants. It is a system that encourages individuals to come forward when the government has been defrauded. Aside from the False Claims Act, Qui Tam claims cover upcoding and false billing to Medicare and Medicaid fraud and billing for services not rendered.

There are numerous laws that protect the rights of whistleblowers. The Whistleblower Protection Act (WPA) shields federal employees who disclose illegal or improper government activities. The Sarbanes-Oxley Act (SOX) extends protections to employees of publicly traded companies and the Dodd-Frank Act further broadens these protections in the financial sector. Each of these laws is designed to protect your rights, ensuring that you can speak out without fear of retaliation. We can guide you through these protections and stand by your side every step of the way.

Whistleblower Protection Act (WPA)

The Whistleblower Protection Act (WPA) plays a pivotal role in promoting transparency and accountability within the federal government by providing robust protections for federal employees who come forward to report misconduct.

The significance of the WPA lies in its ability to safeguard employees from retaliatory actions, such as termination, demotion or harassment, when they disclose information believed to evidence violations of law, gross mismanagement, gross waste of funds, abuse of authority or a substantial and specific danger to public health or safety.

WPA protections ensure that federal whistleblowers can report wrongdoing without fear of reprisal, thereby encouraging a culture of openness and integrity. This is crucial in deterring corruption and malpractice within government institutions and helps maintain public trust in federal operations.

Examples of actions that can be reported under the WPA include illegal activity, misuse of government resources, unsafe practices that endanger public health and abuse of authority that may result in gross wastage of funds. By covering a wide range of potential wrongdoings, the WPA empowers federal employees to act as watchdogs, advocating for efficiency and ethical governance.

Dodd-Frank Wall Street Reform And Consumer Protection Act

The Dodd-Frank Wall Street Reform and Consumer Protection Act, commonly known as the Dodd-Frank Act, was enacted in 2010 in response to the 2008 financial crisis. It aims to increase transparency and oversight in the financial industry, with a strong emphasis on consumer protection and systemic risk reduction. A significant component of this legislation is its provisions for whistleblowers, especially those who expose misconduct in the financial sector.

Under the Dodd-Frank Act, financial whistleblowers are afforded substantial protections to encourage the reporting of violations of federal securities laws to the Securities and Exchange Commission (SEC). These protections ensure that individuals who come forward can do so without fear of retaliation from their employers. Specifically, the Act prohibits any retaliatory actions by employers against whistleblowers, such as demotion, discharge, suspension, threats, harassment or discrimination in any other manner.

While Dodd-Frank was modeled to a degree after the False Claims Act, there are several significant differences a potential whistleblower should be aware of, including:

• No court claims: Claims are filed with the appropriate federal agency, either the Securities and Exchange Commission (SEC) or the Commodity Futures Trading Commission (CFTC).
• Public information allowed: Individuals making a Dodd-Frank claim may use publicly available information on which to base their claim.
• All meaningful information is welcome: There is no “first come, first served” rule under Dodd-Frank. Anyone with valid information on a fraudulent activity can participate in making a claim.
• No private right to qui tam: A major difference between the False Claims Act and Dodd-Frank is that if the SEC or CFTC does not decide to pursue the case, the whistleblower does not have the right to pursue a qui tam action on their own.

The Dodd-Frank whistleblower program includes incentives and rewards for individuals who provide original information that leads to successful SEC enforcement actions. If the information provided results in monetary sanctions exceeding $1 million, the whistleblower may be eligible for an award ranging from 10% to 30% of the money collected. This financial incentive is designed to motivate insiders or others with specific knowledge to report violations.

False Claims Act (FCA)

The False Claims Act (FCA), established during the Civil War in 1863 and amended notably in 1986 and 2009, is designed to combat fraud against federal government programs. It was initially created to address fraud by suppliers to the Union Army and has evolved to cover a broad range of modern fraud cases, including defense contractor and construction contractor fraud. While the FCA is a federal law, New York and Florida both have their own False Claims Acts.

Whistleblowers under the FCA, known as “relators,” are provided substantial protections and incentives. Key features include the ability to file actions under seal to protect the whistleblower’s identity and minimize retaliation risks during the government’s investigation phase. The Act protects not just employees but also contractors and agents from retaliation, including termination, demotion or harassment.

Financially, whistleblowers can receive 15 – 30% of the government’s recovery, rewarding them for their role in safeguarding taxpayer money. High-profile FCA cases have involved sectors like health care, where pharmaceutical companies have been fined for mislabeling drugs, and defense, where contractors have settled claims for overbilling.

Despite potential employer tactics like confidentiality or severance agreements to silence whistleblowers, these do not supersede the FCA’s protections. Whistleblowers are encouraged to consult experienced attorneys to navigate these complex issues effectively.

Sarbanes-Oxley Act (SOX)

The Sarbanes-Oxley Act (SOX), enacted in 2002 in response to significant accounting scandals involving major corporations, serves as a critical regulatory framework aimed at improving corporate governance and accountability in publicly traded companies in the United States. SOX was designed to enhance transparency in financial reporting and to protect investors by implementing stricter auditing and reporting standards.

A key aspect of SOX is its strong whistleblower protection provisions. These protections are crucial for employees in publicly traded companies who might uncover and want to report various types of fraudulent activities without fear of retaliation. Specifically, SOX covers the reporting of several illegal activities, including mail fraud, securities fraud, wire fraud, bank fraud, violations of SEC rules and regulations and any federal offenses concerning fraud against shareholders.

Under SOX, whistleblowers have flexibility in reporting; they can raise their concerns internally, or they can go directly to Congress, law enforcement or other appropriate authorities. This flexibility ensures that whistleblowers can act in a manner they deem most effective and secure.

If a whistleblower faces retaliation, such as termination or demotion, they have the right to file a complaint with the Occupational Safety and Health Administration (OSHA). OSHA is responsible for investigating these claims, and if retaliation is confirmed, the agency facilitates a remedy that may include job reinstatement, recovery of back wages with interest, restoration of benefits and compensation for any damages related to the loss of professional reputation. If a resolution is not reached within 180 days, whistleblowers have the right to take their claims to federal or state civil courts.

Reporting Misconduct

When reporting misconduct in whistleblower claims, you must follow a structured process to ensure that you protect your rights and effectively file your claim. Start by gathering and documenting all relevant information and evidence related to the misconduct. You should include dates, involved parties and a detailed description of the events, supported by emails, documents and witness statements if possible.

Choosing the right agency or authority to report the misconduct is crucial. The nature of the misconduct will determine whether it should be reported to an internal department like Human Resources, or to an external authority such as a government regulatory agency. Legal guidance can be invaluable in making this decision, as reporting to the correct agency not only ensures proper handling but also enhances the protection offered to you.

Confidentiality is a key concern in whistleblower cases. Our attorneys can help ensure that your identity and the details of your claim are kept confidential, minimizing the risk of any personal or professional repercussions. New York and Florida both have laws in place that provide protections against retaliation for whistleblowers. These laws are designed to protect you from any adverse employment actions such as termination, demotion or discrimination as a result of your report.

Legal Support And Resources

Whistleblowers play a crucial role in exposing illegal practices and misconduct within organizations, but taking the step to report can be daunting. Legal support for whistleblowers is vital in ensuring that you are protected and can navigate the complex legal landscape effectively. Our attorneys can provide guidance on the reporting process, help in identifying the appropriate agency to which misconduct should be reported and offer strategies to maintain confidentiality and minimize risk.

Additionally, various nonprofit organizations and support groups offer resources and guidance, ensuring whistleblowers do not face the process alone. These organizations often provide educational materials, legal advice and sometimes direct representation.

Legal aid can also be a valuable resource, particularly for those who may not have the financial means to hire private counsel. Many legal aid organizations have attorneys skilled in whistleblower laws who can provide assistance or refer individuals to experts in the field. This support is crucial in protecting whistleblowers from retaliation, ensuring their rights are upheld and helping them make informed decisions throughout the process.

Our Firm Will Explain Your Whistleblower Protections

Our lawyers want to work with you to ensure that you feel fully informed about your rights and the protections afforded to you under the law. Whistleblower protections are designed to shield you from retaliation, maintain your confidentiality and ensure that your courageous act of reporting does not negatively impact your career or personal life.

We encourage anyone who witnesses unethical or illegal behavior to come forward. Reporting misconduct not only promotes a more ethical environment but also protects others from potential harm. If you want to report wrongdoing, do not hesitate to seek legal support. Our experienced team is here to guide you through the process, help you understand your protections and stand by your side every step of the way. By empowering yourself with knowledge and the right support, you can make a significant impact while being safeguarded against retaliation.

It is not recommended to file an FCA or other claim on your own, and in some cases, it is not allowed. Federal and state laws relating to false claims have complicated requirements and components. Without experienced counsel at your side, your claim can fail and you may lose all rights to a reward. Whistleblower cases are most successful when you hire capable counsel. The prospect of significant rewards should offset concerns about cost.

You Can Trust Us To Protect Your Whistleblower Rights

You have rights as a whistleblower. Our firm will explain them in detail and ensure you are safeguarded from harassment or abuse. Call our New York office at 212-577-9231 or use our confidential email form to set up an appointment.