Should You Sue a Client Who Hires Your Employee?
Should you sue a client who takes your top employee? It sounds extreme—but it happens more than you’d think. And if you’re not ready, it can cost your business big time.
One of our clients runs a small business with skilled staff. They sent an employee to a client for a short-term project. But then the client offered that employee a full-time job—and the employee took it.
So what now? Should you sue a client for stealing your talent?
Technically, it was a breach of contract. A lawsuit could take years and cost thousands in legal fees. Even if they won, the employee probably wouldn’t come back. And the client? Gone for good.
Instead, our client had a smart contract clause: a recruitment fee. If a client hires one of their workers, they owe a set fee. The client paid, no court was needed, and the relationship stayed strong.
The lesson? Protect your people—and your profits. Make sure your contracts cover what happens if a client hires your staff. Need help? Get in touch
Also, keep your team happy so they’re less likely to leave.
