Ethics rules and political-activity restrictions are some of the most aggressively enforced standards in federal employment. One mistaken email, one unapproved outside activity, one social media post while teleworking—and a federal employee can suddenly find themselves facing an OIG interview, an OSC investigation, a proposed suspension, or even removal.

Most employees don’t violate these rules intentionally. They violate them because the federal ethics system is complex, outdated, and inconsistently explained by agencies.

This is where the right legal defense matters.

As former federal employees, former agency counsel, former military JAGs, former prosecutors, former security clearance adjudicators, and former administrative judges, NSLF’s attorneys know exactly how agencies interpret ethics regulations, what OSC looks for in Hatch Act cases, and how to defend your federal career effectively.

If you are under investigation or facing discipline, speak with a former agency insider before responding:
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Understanding Federal Ethics Rules

Federal ethics restrictions come from several overlapping sources:
5 C.F.R. Part 2635, 18 U.S.C. §§ 201–209, OGE guidance, Executive Orders, and agency-specific ethics directives. Agencies expect perfect compliance, even when employees have never received clear or updated training.

Ethics enforcement typically focuses on the following areas:

  • Conflicts of interest

  • Misuse of official position

  • Misuse of government resources or time

  • Acceptance of gifts

  • Participation in matters affecting personal financial interests

  • Outside employment without approval

  • Improper use of nonpublic information

  • Inaccurate or incomplete financial disclosures

Even minor mistakes can escalate quickly because agencies treat ethics violations as integrity issues.

Conflicts of Interest and Misuse of Position Allegations

Conflicts of interest occur when an employee participates in any matter that affects their financial interests or the interests of certain family, business partners, or outside employers. These violations can be unintentional, such as:

  • Taking part in a procurement involving a family member’s company

  • Participating in a hiring panel for a friend

  • Handling a matter involving an organization you volunteer with

  • Approving actions that affect an outside employer before obtaining recusal

Misuse of position allegations include:

  • Using your title in private business activities

  • Using government property, resources, or time for personal purposes

  • Using subordinates to assist in non-official tasks

  • Using nonpublic information for personal advantage

Even a signature block, LinkedIn profile, or presentation can lead to an investigation.

Financial Disclosure and Gift Rule Violations

Financial disclosure mistakes are among the most common ethics violations. Agencies view unreported outside income, unpaid board memberships, and unlisted assets as potential red flags.

Gift restrictions are equally strict. Federal employees generally cannot accept more than $20 per source per occasion or more than $50 annually. Gifts from prohibited sources or gifts offered because of official position are typically barred.

Employees frequently violate these rules accidentally, especially during conferences, professional events, and training programs where “who counts as a prohibited source” is unclear.

The Hatch Act and Political Activity Restrictions

The Hatch Act regulates when and how federal employees may engage in partisan political activity. Violations are often unintentional, especially with increased telework and social media use.

Employees fall into two major categories:

  • Less restricted employees: May engage in political activity off duty and outside the workplace.

  • Further restricted employees: SES, DOJ, intelligence community, ALJs, and certain law enforcement roles. These employees cannot take part in partisan political campaigns at all.

Violations include:

  • Political activity while on duty

  • Political activity while teleworking in duty status

  • Using a government computer, phone, or email for political content

  • Soliciting or discouraging political activity of subordinates

  • Using official title in partisan activity

  • Running for partisan political office

  • Posting or sharing partisan political content during working hours

Penalties can be severe, including mandatory removal for certain violations referred by OSC.

Social Media and Hatch Act Enforcement

OSC now aggressively prosecutes political activity on social media. Many employees do not realize that even passive engagement—such as “liking” or “sharing” partisan posts—can violate the law if done while in duty status or from a government device.

Common social media violations include:

  • Posting partisan content while teleworking

  • Retweeting campaign content during duty hours

  • Joining political groups using an official title

  • Sharing fundraising links from a government device

  • Using government email for political communications

These cases often escalate faster than traditional misconduct cases because they create evidence that is timestamped, archived, and easily documented.

Outside Employment and Unapproved Activities

Many employees are disciplined for outside activities they did not realize required ethics approval. Agencies often require prior written approval for:

  • Teaching

  • Consulting

  • Freelancing

  • Private legal practice

  • Serving on boards

  • Speaking engagements

  • Paid writing or publishing

  • Media appearances

  • Running small businesses

  • Expert witness work

Failure to obtain prior approval—even for an activity that is later approved—can lead to discipline, including suspensions.

Agencies take these violations seriously because outside work creates risk of conflict, misuse of position, or misuse of nonpublic information.

Penalties for Ethics and Hatch Act Violations

Penalties vary depending on the severity and whether OSC or OIG is involved, but can include:

  • Written reprimand

  • 5- to 14-day suspension

  • 30-day suspension

  • Demotion

  • Removal

  • Referral to OSC

  • Security clearance suspension

  • Loss of eligibility for future federal employment

Hatch Act cases referred by OSC to MSPB historically included mandatory penalties for certain violations.

How to Defend Against Ethics or Hatch Act Allegations

These cases require a carefully structured defense because agencies treat ethics violations as integrity issues. Your goal is to show limited intent, narrow the allegations, and provide strong mitigation under Douglas.

Effective defense strategies include:

  • Challenging the agency’s evidence

  • Narrowing political-activity allegations

  • Demonstrating lack of intent

  • Showing inconsistent agency enforcement

  • Providing performance-based mitigation

  • Identifying errors in training or notice

  • Using clearance policies to demonstrate good judgment

  • Providing context for outside activities

  • Showing historical compliance

Most employees make the mistake of trying to “explain things” to investigators, OSC, OIG, or HR. This often leads to admissions that harm their case. An attorney should craft the narrative from the beginning.

Why Choose NSLF for Ethics and Hatch Act Defense

Federal employees choose NSLF because no other firm brings the combined insider experience, federal-national focus, and outcome-driven strategy that we provide.

Why NSLF is the top choice for ethics and Hatch Act defense:

  • 4.9-star Google rating: Read verified federal reviews

  • Former agency counsel from DHS, DOJ, TSA, CBP, Army, Air Force, DOE, and the intelligence community

  • Former security clearance adjudicators and administrative judges

  • Washington, D.C. headquarters in the center of federal ethics enforcement

  • Nationwide representation across all agencies

  • Attorney Review Board that evaluates complex discipline and OSC cases

  • Disabled-veteran-founded firm with a mission of maximizing case outcomes

  • Legal financing through Affirm so you can defend your career without delay:
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  • Comprehensive knowledge of agency politics, personalities, and culture

  • Expert representation in clearance-related ethics cases

Federal ethics cases require more than a typical employment lawyer—you need attorneys who understand how the government actually enforces these rules.

Federal Employment Defense Resource Hub

For more long-form guides covering discipline, MSPB, OSC, performance, whistleblowing, and adverse actions, visit the
Federal Employment Defense Resource Hub.

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If you are accused of an ethics violation, Hatch Act violation, misuse of position, misuse of time, political misconduct, or unapproved outside work, do not respond alone. Agencies treat these as integrity issues—and the wrong statement can cost you your career.

Speak with a former agency insider today:
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