Rippling Sues Deel for Espionage, Trade Secret Theft

Rippling, a human resources software startup, has filed a lawsuit against its competitor Deel, alleging that Deel orchestrated a trade-secret theft by employing a spy within Rippling's Dublin office. The lawsuit accuses Deel of racketeering, misappropriation of trade secrets, and aiding in breach of fiduciary duty, claiming the spy conducted searches to steal information which was used to intercept sales efforts and retain customers. Rippling claims to have trapped the spy through a fake Slack channel, proving involvement of Deel's senior executives. Deel has denied these allegations, suggesting that Rippling's claims are an attempt to distract from its own legal issues. Both companies are major players in the HR technology space, valued at over $12 billion each, and the rivalry between them has been intensifying. The case highlights the competitive and aggressive nature of the HR technology sector, with Rippling's CEO, Parker Conrad, known for his hard-charging managerial style.