Hold onto the company accounts, the U.S. Court of Appeals for the Fifth Circuit has confirmed that recruiters aren’t always liable when placing thieves, according to Rob Radcliff of Weinstein Radcliff in a recent post.
In the case, an office manager embezzled $60,000 from a medical group. She had been recommended by a recruiter, who had performed a background check that did not reveal criminal records from the national database. The recruiter was paid $7,275 and the company sued for its placement fee. The recruiter had a policy for a full refund within 30 days of employment, with prorated refund and replacement fees thereafter.
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