5th Circuit says whistleblowers not protected from retaliation if they report internally

The court reads Dodd-Frank to say whistleblowers must report to the SEC if they want protection

Employers in the 5th Circuit may have felt a chill up their spines on Wednesday, even if they didn't know why.

That's because the 5th Circuit that day issued a ruling that is sure to be unpopular among employers with internal reporting systems. The court said that whistleblowers are only protected from retaliation if they report their employer's wrongdoing to the Securities and Exchange Commission (SEC), in opposition to almost every other court to rule on the issue and the SEC itself.

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