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Difference between revisions of "CFTC Whistleblower Program"
→Private Right of Action under Section 23(h)(1)(A) of the Commodity Exchange Act
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The CEA authorizes a whistleblower to bring a CFTC whistleblower retaliation claim in federal court. | The CEA authorizes a whistleblower to bring a CFTC whistleblower retaliation claim in federal court. | ||
==='''Statute of Limitations for a CFTC Whistleblower Retaliation Claim'''=== | |||
The statue of limitations for a CFTC whistleblower retaliation claim is two years after the date on which the act of retaliation is committed. | |||
==='''Arbitration of a CFTC Whistleblower Retaliation'''=== | |||
An employer can not require arbitration of a CFTC whistleblower retaliation claim. The Dodd-Frank Act expressly provides that CFTC whistleblower retaliation claims are not subject to pre-dispute arbitration agreements. See 7 U.S.C. § 26(n). | |||
==='''Other Whistleblower Protection Laws May Provide a Remedy for Retaliation for Corporate Whistleblowers'''=== | |||
Other federal and state whistleblower protection laws may provide an additional remedy, including New York’s recently amended whistleblower protection law. | |||
=='''CFTC Prohibits “Gag Clauses” in Confidentiality and Employment Agreements'''== | |||
The rules implementing the CFTC whistleblower program '''prohibit employers from taking steps to impede whistleblowers from communicating with the CFTC staff.''' In particular, 17 C.F.R. § 165.19(b) provides: | |||
No person may take any action to impede an individual from communicating directly with the Commission’s staff about a possible violation of the Commodity Exchange Act, including by enforcing, or threatening to enforce, a confidentiality agreement or predispute arbitration agreement with respect to such communications. | |||
This prohibition is critical to the success of any whistleblower program because '''companies often use overly broad confidentiality agreements to silence and punish whistleblowers.''' | |||