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ARTICLE · 02 OCTOBER 2001

When Is Raiding A Competitor´s Employees Illegal?

Gaining a competitive advantage by hiring key employees away from a competitor used to be an every-day occurrence. The practice has rapidly fallen into disfavor as almost every jurisdiction in the United States, including Virginia, has adopted and routinely enforces a cause of action for tortious interference with contractual relationships and business expectancies.

United StatesEmployment and HR
R Peyton Mahaffey
R Peyton Mahaffey

Gaining a competitive advantage by hiring key employees away from a competitor used to be an every-day occurrence. The practice has rapidly fallen into disfavor as almost every jurisdiction in the United States, including Virginia, has adopted and routinely enforces a cause of action for tortious interference with contractual relationships and business expectancies. Application of this legal theory has become more prevalent in recent years as the high-tech industry increasingly relies upon the creative efforts and innovations of individual employees and contractors -- individuals who are in high demand and often find lucrative financial offers from competitors irresistible. This article is intended to help companies understand and protect their legal rights when key employees are raided. It is also designed to alert the raiding competitor and individual employee or contractor to potential risks and consequences which may arise from a switch in allegiance. Lastly, this article

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