FTC Whistleblower Act of 2026

In this Act:

(1) Commission. The term Commission means the Federal Trade Commission.

(2) Covered action. The term covered action means any administrative or judicial action or proceeding, including any related administrative or judicial action, brought by the Commission, or by the Attorney General on behalf of the Commission, in relation to a covered violation and that results in monetary sanctions exceeding $1,000,000.

(3) Covered disclosure. The term covered disclosure means a formal or informal communication or transmission that an individual reasonably believes relates to an alleged covered violation, including such a communication or transmission of such a violation that is part of the normal employment duties of the individual.

(4) Covered entity. The term covered entity means an entity or individual that is subject to the jurisdiction of the Commission.

(5) Covered violation. The term covered violation means—

(A) a violation of any law, rule, or regulation enforced by the Commission; or

(B) a violation of any order of the Commission after such order has become final and while such order is in effect.

(6) Fund. The term Fund means the Federal Trade Commission Consumer Protection Fund established pursuant to section 3(g).

(7) Monetary sanctions. The term monetary sanctions, with respect to a covered action—

(A) means monies, including penalties, disgorgement, or interest, ordered or agreed to be paid as a result of such action; and

(B) does not include restitution (as determined by the Commission) for losses of, or relief necessary to redress injury to, consumers, other persons, partnerships, and corporations.

(8) Original information. The term original information means information that—

(A) is derived from the independent knowledge or analysis of a whistleblower;

(B) is not known to the Commission from any other source, unless the whistleblower is the original source of the information; and

(C) is not exclusively derived from an allegation made in a judicial or an administrative action, governmental report, hearing, audit, or investigation, or from the news media, unless the whistleblower is a source of the information.

(9) Qualified entity. The term qualified entity means—

(A) the Commission;

(B) an agency (as defined in section 551 of title 5, United States Code) or a law enforcement agency; or

(C) any Member of Congress or committee of Congress.

(10) Related administrative or judicial action. The terms related administrative action and related judicial action include any action brought by any appropriate Federal authority, a State attorney general in connection with any criminal investigation, or any appropriate State regulatory authority that is based upon the original information provided by a whistleblower that leads to the successful enforcement of the action by the Commission or the Attorney General on behalf of the Commission.

(11) Whistleblower. The term whistleblower means—

(A) an individual (or group of individuals) who is a current or former full-time, part-time, or temporary employee, contractor, subcontractor (at any tier), grantee, subgrantee, or agent of a covered entity or employee of a contractor or subcontractor (at any tier) of the covered entity and who engages in any of the conduct described in paragraph (1), (2), or (3) of section 2(a), including as part of the employment duties of such individual or group; or

(B) any person that assists any such individual or group with such conduct.