Ford & Harrison: New Jersey Supreme Court Holds Internal Auditors May Bring CEPA Claims | Practical Law

Ford & Harrison: New Jersey Supreme Court Holds Internal Auditors May Bring CEPA Claims | Practical Law

This Law Firm Publication by Ford & Harrison LLP discusses a decision by New Jersey's Supreme Court that expands the protections of the Conscientious Employee Protection Act (CEPA), the state's whistleblower law. In Lippman v. Ethicon, Inc., a high-ranking employee claimed he was fired in retaliation for making product safety recommendations to upper management, a central function of his job. The court found that "watchdog" employees like Lippman can invoke CEPA's whistleblower protections for reports or advice they provide to superiors about corporate conduct as part of their regular daily job obligations. Lippman renders CEPA one of the most expansive whistleblowing statutes in the US as the court rejected the analysis of many courts holding that an individual cannot become a protected whistleblower simply by performing his normal job functions. The publication argues that Lippman provides New Jersey watchdog employees with "untouchable" status because virtually all of their actions would be CEPA-protected whistleblowing activities.

Ford & Harrison: New Jersey Supreme Court Holds Internal Auditors May Bring CEPA Claims

by Ford & Harrison LLP
Published on 16 Jul 2015New Jersey, United States
This Law Firm Publication by Ford & Harrison LLP discusses a decision by New Jersey's Supreme Court that expands the protections of the Conscientious Employee Protection Act (CEPA), the state's whistleblower law. In Lippman v. Ethicon, Inc., a high-ranking employee claimed he was fired in retaliation for making product safety recommendations to upper management, a central function of his job. The court found that "watchdog" employees like Lippman can invoke CEPA's whistleblower protections for reports or advice they provide to superiors about corporate conduct as part of their regular daily job obligations. Lippman renders CEPA one of the most expansive whistleblowing statutes in the US as the court rejected the analysis of many courts holding that an individual cannot become a protected whistleblower simply by performing his normal job functions. The publication argues that Lippman provides New Jersey watchdog employees with "untouchable" status because virtually all of their actions would be CEPA-protected whistleblowing activities.