In an Ongoing Legal Saga, HR Technology Startup Deel Claims its Rival Rippling Engaged in Corporate Espionage
When the realm of Human Resources technology turns into a battlefield, one can expect an enthralling drama. The legal battle between two industry rivals, Deel and Rippling, is a testament to this. Deel recently filed an added complaint that offers enticing details about its corporate spying allegations against Rippling. The techno-commercial theater of war suddenly seems reminiscent of a Hollywood blockbuster, with secrets, spies, and lawsuits flying in all directions. Rippling had sued Deel in March after its employee confessed in an Irish court of spying for Deel. In an intriguing turn of events, Deel has now countersued, alleging that Rippling has been indulging in the same act of espionage. The amended complaint offers granular insights into Deel’s accusations. Deel alleges that a Rippling employee, who held the title of ‘Competitive Intelligence’, posed as a Deel customer for half a year. The impersonation was meant to gain unauthorized access to Deel’s systems to systematically analyze, record, and copy Deel’s products and business models. The heavyweight allegation reveals the intensity of the competition within the HR tech industry. The tussle does not just end at allegations of corporate espionage. It has spilled over into personal accusations and subtle insinuations. The lawsuit is rife with insults hurled towards Rippling’s CEO, Parker Conrad. Deel has indirectly tried to connect Rippling’s alleged actions to Conrad’s disgruntlement over past business affairs. The lawsuit claims that Conrad holds a grudge against Andreessen Horowitz, Zenefits’ VC backer, and has subsequently targeted Deel because it is backed by Andreessen. The complaint further added fuel to the fire, stating that Rippling has published misleading claims about Deel in the press and contacted regulators with unsubstantiated allegations. Amidst this corporate skirmish, Deel claims it stands on solid ground financially. The amended complaint reveals that Deel has been profitable for years, generating over $1 billion in annual revenue. Rippling remains unfazed by the allegations, insisting on its commitment to fair competition and high ethical standards. A Rippling spokesperson stated that the company was closely inspecting the allegations on how the employee gathered product intelligence. The company spokesperson also claimed that Deel’s revised complaint backtracked from certain earlier claims, including an insinuation that Rippling had somehow gained access to Deel’s board-level information. As the legal standoff continues to unravel, the HR technology industry watches with bated breath, awaiting the outcome of this corporate saga. The allegations and the countersuits indicate more than just a legal battle – they underline the ruthless competition and pyrrhic strategies adopted in the tech industry.
- •Now Deel is accusing Rippling of spying by ‘impersonating’ a customer techcrunch.com04-06-2025
- •Rippling calls Deel ‘a criminal syndicate’ and claims 4 other competitors were spied on, too techcrunch.com06-06-2025