Federal and state laws and some local ordinances protect those who report wrongdoing or cooperate with investigations or litigation involving illegal or unethical business practices. If your company is, or might be, involved in one of these situations, you need knowledgeable, experienced legal help to navigate through this as a trade secret litigation lawyer can share.
These cases are heavily dependent on who knew and did what and when. The issues involve whether a company committed wrongdoing and whether the whistleblowing employee or contractor (it could be an outside accountant or attorney) suffered retaliation.
Retaliation Based On Protected Activity Is Illegal
Discrimination cases are usually based on negative employment actions against someone because of who they are: they’re Black, Asian, female, Mexican, homosexual, etc. There are also laws protecting people because of what they’ve done (known as protected activity): they asked to be paid the same as their male co-workers, they sought a reasonable accommodation for their physical disability, or they complained of sexual harassment.
Other protected acts include reporting possible wrongdoing internally or to a government agency, cooperating with a government investigation, or litigation concerning alleged company wrongdoing. Protected activity also includes working with local, state, or federal legislative bodies when they’re involved in investigations.
Whistleblower Protections Wide-Ranging
The list of possible topics is only limited by the kinds of illegal and unethical practices a business can engage in, which include:
- Defrauding government agencies
- Illegally polluting
- Constructing or repairing buildings not up to applicable building and fire codes
- Defrauding shareholders, lenders, or insurance carriers
- Not correctly paying wages and benefits
- Maintaining an unsafe workplace
- Hiring undocumented immigrants or children too young to work legally
- Working with or being a part of organized crime
- Accounting practices that could cover up embezzlement
If someone can complain about something to someone and it might get you or your company in trouble, you should assume the person is protected by a whistleblower law and treat the situation accordingly as our friends at Focus Law LA can attest.
Trying To Handle This Yourself May Be Penny Wise And Pound Foolish
An attorney can help you understand what’s going on to determine if the person engaged in protected activity and the best way to manage the person and the situation. If not handled properly, an investigation could get you deeper into trouble.
You may not need to commit wrongdoing and illegally retaliate against a whistleblower. An employee contacts your state environmental protection agency with concerns you may be illegally polluting a local river. As it turns out, the person acted in good faith but had the wrong information, and you didn’t pollute anything. If you learn of this complaint and retaliate against the person by firing or demoting them or cutting their pay due to their complaint, you may have violated the law and given them a basis to sue your company.
These lawsuits have many moving pieces, and a DIY approach may get you deep in legal and financial trouble. Talk to your attorney and learn more about these lawsuits to better protect your company from this type of legal liability.