Lawsuit Filed Against Apple and Other Tech Companies Over Anti-Poaching Agreements

142738 saveri lchb

Law firm Lieff, Cabraser, Heimann & Bernstein today announced the filing of a class-action lawsuit against Apple and other tech companies over "no solicitation" agreements that prevented the companies from attempting to hire away each others' employees. The lawsuit, filed by former Lucasfilm engineer Siddharth Hariharan, contends that the anti-poaching agreements limited career opportunities for and instituted artificial salary caps on employees at the companies involved.

"My colleagues at Lucasfilm and I applied our skills, knowledge, and creativity to make the company an industry leader," stated Mr. Hariharan. "It's disappointing that, while we were working hard to make terrific products that resulted in enormous profits for Lucasfilm, senior executives of the company cut deals with other premiere high tech companies to eliminate competition and cap pay for skilled employees."

"Competition in the labor market results in better salaries, enhanced career opportunities for employees, and better products for consumers," stated [attorney Joseph] Saveri. "We estimate that because of reduced competition for their services, compensation for skilled employees at Adobe, Apple, Google, Intel, Intuit, Lucasfilm, and Pixar was reduced by 10 to 15 percent. These companies owe their tremendous successes to the sacrifices and hard work of their employees, and must take responsibility for their misconduct."

The lawsuit alleges that the "no solicitation" agreements first surfaced in 2005 between Lucasfilm and Pixar, with Adobe, Apple, Google, Intel, and Intuit all joining the coalition that remained in place until at least 2009. The complaint seeks restitution for lost compensation and treble damages as punishment for the anti-competitive actions.

Specific claims of Apple's involvement in such anti-poaching agreements surfaced in August 2009 when a deal with Google was revealed. The U.S. Department of Justice finalized a settlement in September 2010 that barred Adobe, Apple, Google, Intel, Intuit, and Pixar from participating in such arrangements.

Popular Stories

m1 chip slide

Five Years of Apple Silicon: M1 to M5 Performance Comparison

Monday November 10, 2025 1:08 pm PST by
Today marks the fifth anniversary of the Apple silicon chip that replaced Intel chips in Apple's Mac lineup. The first Apple silicon chip, the M1, was unveiled on November 10, 2020. The M1 debuted in the MacBook Air, Mac mini, and 13-inch MacBook Pro. The M1 chip was impressive when it launched, featuring the "world's fastest CPU core" and industry-leading performance per watt, and it's only ...
iOS 26

iOS 26.2 Available Next Month With These 8 New Features

Tuesday November 11, 2025 9:48 am PST by
Apple released the first iOS 26.2 beta last week. The upcoming update includes a handful of new features and changes on the iPhone, including a new Liquid Glass slider for the Lock Screen's clock, offline lyrics in Apple Music, and more. In a recent press release, Apple confirmed that iOS 26.2 will be released to all users in December, but it did not provide a specific release date....
All Screen iPhone 2027 Feature 1

Apple to Hide Selfie Camera Under Display of 20th Anniversary iPhone

Monday November 10, 2025 1:55 am PST by
Apple will conceal the front-facing camera under the screen of its 2027 iPhone, a Chinese leaker said today, corroborating reports that Apple's 20th anniversary iPhone will have no visible cutouts in the display. Weibo-based account Digital Chat Station said Apple's development of under-screen camera technology was progressing as planned for adoption in 2027, one year after it will...
iphone pocket%402x

Apple Debuts iPhone Pocket, a Limited Edition iPod Sock-Style Accessory

Tuesday November 11, 2025 1:23 am PST by
Apple has teamed up with Japanese fashion house ISSEY MIYAKE to launch iPhone Pocket, a 3D-knitted limited edition accessory designed to carry an iPhone, AirPods, and other everyday items. The accessory is like a stretchy pocket, not unlike an iPod Sock, but elongated to form a strap made of a ribbed, elastic textile that fully encloses an iPhone yet allows you to glimpse the display...
iphone air thinness

iPhone Air Sales Are So Bad That Apple's Delaying the Next-Generation Version

Monday November 10, 2025 11:41 am PST by
The thin, light iPhone Air sold so poorly that Apple has decided to delay the launch of the next-generation iPhone Air that was scheduled to come out alongside the iPhone 18 Pro, reports The Information. Apple initially planned to release a new iPhone Air in fall 2026, but now that's not going to happen. Since the iPhone Air launched in September, there have been reports of poor sales...
homepod mini colors

New HomePod Mini Coming Soon With These Features

Tuesday November 11, 2025 7:30 am PST by
Apple is expected to announce a new HomePod mini imminently, headlining with new chips. Here are all of the new features we're expecting. The second-generation HomePod mini is highly likely to contain a more up-to-date chip for more advanced computational audio and improved responsiveness. The current HomePod mini is equipped with the Apple Watch Series 5's S5 chip from 2019. Apple is likely ...
Early Black Friday Deals 1

The Best Early Black Friday Apple Deals on AirPods, Apple Watch, iPad, and More

Saturday November 8, 2025 6:16 am PST by
We're officially in the month of Black Friday, which will take place on Friday, November 28 in 2025. As always, this will be the best time of the year to shop for great deals, including popular Apple products like AirPods, iPad, Apple Watch, and more. In this article, the majority of the discounts will be found on Amazon. Note: MacRumors is an affiliate partner with some of these vendors. When ...
Apple fitness plus feature

Future of Apple Fitness+ 'Under Review'

Sunday November 9, 2025 5:30 am PST by
The future of Apple Fitness+ is "under review" amid a reorganization of the service, according to Bloomberg's Mark Gurman. In the latest edition of his "Power On" newsletter, Gurman said that Apple Fitness+ remains one of the company's "weakest digital offerings." The service apparently suffers from high churn and little revenue. Nevertheless, Fitness+ has a small, loyal fanbase that...
iphone black friday gold

The Best Early Black Friday iPhone Deals

Monday November 10, 2025 10:18 am PST by
Cellular carriers have always offered big savings on the newest iPhone models during the holidays, and Black Friday 2025 sales have kicked off at AT&T, Verizon, T-Mobile, and more. Right now we're tracking notable offers on the iPhone 17, iPhone 17 Pro, iPhone 17 Pro Max, and iPhone Air. For even more savings, keep an eye on older models during the holiday shopping season. Note: MacRumors is...
ios 26 digital id passport wallet

Apple Announces Launch of U.S. Passport Feature in iPhone's Wallet App

Wednesday November 12, 2025 9:15 am PST by
Apple today announced that iPhone users can now create a Digital ID in the Apple Wallet app based on information from their U.S. passport. To create and present a Digital ID based on a U.S. passport, you need: An iPhone 11 or later running iOS 26.1 or later, or an Apple Watch Series 6 or later running watchOS 26.1 or later Face ID or Touch ID and Bluetooth turned on An Apple Account ...

Top Rated Comments

ktappe Avatar
190 months ago
Good

This certainly sounds as if it has merit. It's a blatant circumvention of the "free market" that many politicians, voters, and businessmen openly and frequently support. Now let's see how many of them actually believe in the "free market" by supporting this suit. Or will they oppose this suit and expose themselves as actually being "pro business" and anti worker. It's funny how many forget that "free market" should apply to all portions of the economy, including the workers.
Score: 4 Votes (Like | Disagree)
ciTiger Avatar
190 months ago
I find this outrageous... If you value an employee than make it worth for him to stay in your company... These companies make BILLIONS in revenue... Pay the people who make your revenues what they deserve!
Score: 3 Votes (Like | Disagree)
milo Avatar
190 months ago
Just because they agree not to poach (they won't headhunt a specific person), they can advertise freely what ever salary for a position, who ever wants can apply, and resign from their current job.

The details aren't clear, but if they ignore job applications from anyone currently working in one of the other companies in the agreement, that would be a major disadvantage for those employees.
Score: 3 Votes (Like | Disagree)
CalBoy Avatar
190 months ago
Is there something in this, or is it just a case of a resentful ex-employee?

Just because they agree not to poach (they won't headhunt a specific person), they can advertise freely what ever salary for a position, who ever wants can apply, and resign from their current job.

Agreeing not to go after each other's top talent is a crime known as collusion, and more broadly it is the beginning stages of a trust. The competitive element of the market is completely destroyed if demand is being artificially suppressed.

There def is some merit to this argument but there could be a no compete claus. If that's the case then this lawsuit seems very valid. Probably wont amount to much however

Non-compete clauses are very tightly restricted in California. They only allow for trade secret protection and sensitive document protection. Thus, a former Pixar employee could not reveal to Lucasfilms what their next big project is, but he would be perfectly free to leave Pixar for Lucasfilms.

The DOJ already ruled this and the parties involved settled... At least these companies have that for their defense.
I agree that such agreement or practice goes against employees but how you can prove that you got affected and lost money or better employment???

well.. time will tell..:(

The Federal government settled a criminal prosecution. This is a civil lawsuit on the part of the injured employees.

I haven't taken a look at the full lawsuit yet, but I suspect that the plaintiffs are trying to make use of the Sherman Anti-Trust which allows for triple damages by default.
Score: 3 Votes (Like | Disagree)
mrzeigler Avatar
190 months ago
Knee-jerk anti-labor response.
It takes 2 sides to create a job offer, and if companies can't let workers know a job exists, then the worker is cut off at the knees.
Reminds me of the argument that unions aren't necessary because I have sufficient bargaining power as an individual against a billion dollar corporation.
Absurd.
Very good point.

As for the posters getting worked up about the dollars at stake here, the amount of money is not the issue here. Seriously. The issue is opportunity.

It's one thing to accept a job and sign a contract with a no-compete clause. In that case, the employee is going into the situation fully aware, and usually the salary reflects that exclusivity.

It's another situation entirely if you get a job with Company A and afterward discover that your employment with Company A puts you on a blacklist for companies B, C, D, E and F — at least some of which you'd prefer to work for — for reasons that have nothing to do with your competency.

These companies could fix this situation simply by negotiating with current employees to add no-compete clauses that detail specific companies or types of companies. In return for the stability that the employers desire, the companies should have to include extra pay or perks for the workers to give up their right to seek employment elsewhere within a certain period of time. They could then make such clauses standard for new hires.


Edit: This is said with the presumption that this situation isn't limited to just wine-and-dine, come-work-for-us recruiting but also extends to exclude prospective job candidates who currently work for specific companies but are seeking new employment.
Score: 2 Votes (Like | Disagree)
smithrh Avatar
190 months ago
As someone from one of the purported companies that agreed to this, you can rest assured I am very much unhappy with this arrangement and it needs to be quashed - permanently.

Let's say I want to work for Apple - well, maybe they won't contact me, or they'll send my CV that I send to them to the shredder without reading it through. All because of where I work now.

Bluntly speaking - that's crap.
Score: 2 Votes (Like | Disagree)