Before the Dodd-Frank Wall Street Reform and Consumer Protection Act (“Dodd Frank”) was enacted, whistleblower claims by registered representatives, including those arising pursuant to the Sarbanes-Oxley Act of 2002 (“SOX”) were subject to mandatory arbitration at FINRA. See FINRA Notice 12-21 (PDF). Dodd Frank changed that. Dodd Frank specifically amended SOX to provide that “[n]o dispute arbitration agreement shall be valid or enforceable, if the agreement requires arbitration of a dispute arising under this section.” In addition, SOX was also amended to ...
This is the third in our series of posts on practice and procedure in employment-related arbitrations before FINRA. Check back often for future posts, subscribe by e-mail (see the sidebar), or follow @FSemployer on Twitter so you don’t miss any updates!
Once upon a time, it was mandatory under Form U4 that registered representatives file any statutory claims of discrimination (such as age, gender, or race discrimination) in arbitration rather than in court. A well known Supreme Court case decided in 1991, Gilmer v. Interstate/Johnson Lane Corp.
Blog Editors
Recent Updates
- Critical Infrastructure at Risk: Project Glasswing Urges Attention to AI-Driven Cyber-Risks
- Watch: NLRB Could Soon Have a Three-Person Republican Majority - Employment Law This Week
- Watch: The Administration’s Focus on DEI Moves from Words to Action - Employment Law This Week
- Watch: 401(k) Alternative Assets, NLRB Removal Protections, and Military Leave Requests - Employment Law This Week
- Watch: Employer AI Headaches - Job Postings, Client Privilege, and Microchip Bans - Employment Law This Week