U.S. Supreme Court Holds That Dodd-Frank Act’s Whistleblower Provisions Cover Persons Who Report Concerns to the SEC, Not Those Who Exclusively Report Internally

March 1, 2018
In Digital Realty Trust, Inc. v. Somers (Feb. 21, 2018), the Supreme Court held that the Dodd-Frank Act’s anti-retaliation provision provides a private cause of action only for persons who report suspected wrongdoing directly to the SEC, and not for persons who report exclusively to their employers internally. As a result of this decision, individuals who do not report to the SEC may not bring claims under Dodd-Frank; however, they may well have claims under the Sarbanes-Oxley Act, which explicitly protects individuals who report concerns internally from retaliation for having done so.

Read our client memo on the decision.