TechCrunch Startup News Rippling calls Deel ‘a criminal syndicate’ and claims 4 other competitors were spied on, too
Jun 9, 2025
Tensions are rising in the HR tech world as Rippling accuses Deel of corporate espionage. The allegations suggest that Deel targeted and infiltrated multiple competitors, sparking a heated legal battle. With accusations this serious, even federal authorities are getting involved. The drama unfolds as both companies brace for an intense showdown.
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Espionage Allegations Against Deal
- Rippling's amended complaint alleges Deal operated a criminal syndicate targeting competitors via corporate espionage.
- This is reflected in their use of RICO laws and claims implicating Deal's CEO and top executives.
Deal's Alleged Broad Spying Network
- The complaint broadly accuses Deal of spying on multiple competitors beyond Rippling, including Toku.
- Some victims remain unnamed, but are major players in the employer of record market.
Criminal Framing in Civil Suit
- Rippling's lead attorney, Alex Spiro, a former Manhattan prosecutor, uses criminal law terms in a civil suit deliberately.
- This signals potential government interest in escalating the case beyond civil courts.