Rippling Accuses Deel of Corporate Espionage in Federal Lawsuit
The HR tech giant claims Deel planted a spy to steal trade secrets, while Deel denies the allegations and plans to counter-sue.
- Rippling has filed a federal lawsuit accusing competitor Deel of orchestrating a corporate espionage scheme involving a planted employee, referred to as 'D.S.' in the complaint.
- The alleged spy accessed sensitive information over 6,000 times, including sales leads, pricing strategies, and customer data, which Rippling claims Deel used to counter its business efforts.
- Rippling confirmed its suspicions through a honeypot operation, baiting the spy with a fake Slack channel that was accessed shortly after Deel's executives were informed of its existence.
- The lawsuit alleges Deel's top leadership was involved in directing the espionage, though Deel has denied all wrongdoing and called the claims sensationalized.
- Rippling is seeking damages and a jury trial, with the case marking a significant escalation in the intense rivalry between the two $10 billion HR tech firms.