Charles Krugel, Human Resources Attorney & Counselor working in labor & employment law on behalf of management, says:
Generally, under federal law it’s not civilly or criminally illegal. I’ve seen blog posts from professionals, & even another management side labor & employment attorney, saying that rusing violates federal law such as Federal Trade Commission rules. Others argue that it violates the Uniform Trade Secret Act, but this isn’t federal law. It’s a doctrine which can be adopted by the states; i.e., unless codified as law, it’s persuasive but not mandatory as an authority.

As best as I can tell rusing only violates FTC law when the recruiter is lying for the purpose of obtaining something of concrete value such as money, trade secrets or inside information in order to gain a direct pecuniary advantage. There’s potential criminal and civil liability with these types of thefts. Still, most trade secret & intellectual property law & doctrine doesn’t address the type of conduct I’m talking about here.

Read the article here.

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