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Rule 28: Hold Companies Accountable for Paying Hush Money

Policing Corporate Pressure to Keep Silent

“The corporate code of silence…creates a climate where ongoing wrongdoing can occur with virtual impunity.”

Senate Report, Sarbanes-Oxley Whistleblower Act

82 Federal Register 4717 (Federal Acquisition Regulation prohibiting use of federal funds for restrictive NDAs)
Rules prohibiting restrictions on the right of federal employees to communicate with Congress or file whistleblower claims. Public Law No. 114-113 § 713 (2015); Public Law No. 112-199 § 115(a)(1) (2012)

Town of Newton v. Rumery, 480 U.S. 386 (1987) (defining “public policy”).
EEOC v. Astra, 94 F.3d 738 (1st Cir. 1996) (agreement cannot bar filing charge).
Connecticut Light & Power Co. v. Secretary of the United States, 85 F.3d 89 (2nd Cir. 1996 ) (restrictive agreement as adverse action).
Macktal v. Brown & Root, U.S. Department of Labor Case File 86- ERA-23 (Order of Secretary of Labor dated October 13, 1993).
U.S. v. Purdue Pharma, 600 F.3d 319 (2010) (releases under False Claims Act).
Gilmer v. Interstate, 500 U.S. 20 (1991) (leading case requiring mandatory arbitration of employment claims).
In the Matter of KBR, Inc., Securities and Exchange Commission File No. 3-16466 (April 1, 2015) (SEC decision sanctioning company for restrictive nondisclosure agreement).
KBR Non-Disclosure Agreement
Barko v. Halliburton Co. 2014 U.S. Dist. LEXIS 36490 (D.D.C. March 6, 2014).
Upjohn v. U.S, 449 U.S. 383 (1981).
U.S. ex rel Longhi v. Lithium Power, 575 F.3d 458 (5th Cir. 2009) (refusing to enforce employee release of FCA claims)