OpenAI Faces SEC Scrutiny Over Alleged Illegal NDAs: Whistleblowers Speak Out

Jul 13, 2024

OpenAI Faces SEC Scrutiny Over Alleged Illegal NDAs: Whistleblowers Speak Out
OpenAI Faces SEC Scrutiny Over Alleged Illegal NDAs: Whistleblowers Speak Out
OpenAI Faces SEC Scrutiny Over Alleged Illegal NDAs: Whistleblowers Speak Out

OpenAI has been reported to face allegations regarding its use of non-disclosure agreements (NDAs) deemed illegal by whistleblowers. According to documents obtained by the Washington Post, a group of whistleblowers associated with OpenAI filed a complaint with the SEC, claiming the company enforced restrictive NDAs to prevent former employees from discussing safety and other concerns with federal agents. Senator Chuck Grassley has expressed support for the whistleblowers, suggesting that OpenAI's NDA policies may inhibit employees' rights to whistleblow. OpenAI responded by stating it has revised its departure processes to eliminate nondisparagement terms but did not admit to any wrongdoing.