ARTICLE
30 December 2016

SEC Fines Tech Company For Violating Whistleblower Protection Rules

CW
Cadwalader, Wickersham & Taft LLP

Contributor

Cadwalader, established in 1792, serves a diverse client base, including many of the world's leading financial institutions, funds and corporations. With offices in the United States and Europe, Cadwalader offers legal representation in antitrust, banking, corporate finance, corporate governance, executive compensation, financial restructuring, intellectual property, litigation, mergers and acquisitions, private equity, private wealth, real estate, regulation, securitization, structured finance, tax and white collar defense.
The SEC fined a technology company $180,000 for violating whistleblower protection rules.
United States Employment and HR

The SEC fined a technology company $180,000 for violating whistleblower protection rules. The technology company entered into severance agreements that improperly impeded at least one former employee from communicating information to the SEC. The company's severance agreements contained a "non-disparagement" clause that forbade former employees from engaging the SEC and other regulators "in any communication that disparage[d], denigrate[d], malign[ed] or impugn[ed]" the company.

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