Third Circuit Lowers Bar For Determining Whether Internal Complaint Is Sox Protected Activity

In Wiest v. Lynch, No. 11-cv-4257, 2013 U.S. App. LEXIS 5345 (3d Cir. March 19, 2013),the Third Circuit gave Chevron deference to U.S. Department of Labor Administrative Review Board's (ARB) interpretation of "protected activity" under Section 806 of SOX in Sylvester v. Parexel International LLC, No. 07-123 (ARB May 25, 2011), concluding that a whistleblower need only show that his or her communication reflects a reasonable belief that the employer has violated or will violate the law or rules of the SEC.  We now see a circuit split on multiple issues, including whether the alleged misconduct "definitively and specifically" relates to one of the categories in Section 806, and whether the employee can engage in protected activity by complaining of potential future violations.