New York counsel Rich Lomuscio was quoted in a Business Insurance article titled, “Whistleblower rulings headed to high court?” The article discussed the issue of whether corporate whistleblowers must report their issues to the U.S. Securities and Exchange Commission first before they can receive anti-retaliation protection.

In 2013, the U.S. Court of Appeals for the Fifth Circuit held that a whistleblower who had reported alleged wrongdoing internally, but not to the SEC, did not qualify for anti-retaliation protection. On September 10, 2015, however, the U.S. Court of Appeals for the Second Circuit held that internal reporting is sufficient when evoking the Dodd-Frank Wall Street Reform and Consumer Protection Act, creating a Circuit split that opens the door for possible U.S. Supreme Court review of the issue.

Rich commented that, “It really boils down to a statutory interpretation issue” and how much deference courts will give to the SEC’s interpretation.