The new US whistleblower rules could create an "enormous"
amount of collateral litigation, according to some counsel.
Following the rules’ release on May 25, the
impact of internal reporting incentives has dominated
discussion. But other concerns have arisen as counsel have had
time to reflect on the rules, including the sheer number of
lawsuits that could arise from a single internal report.
A whistleblower can appeal the Securities and Exchange
Commission’s (SEC) refusal to pay a bounty (but
not the amount of any bounty paid). Employee whistleblowers