Civil Suit Against Google, Apple and Others Over Employee-Poaching Ban Can Continue

A U.S. District Judge has ruled that an anti-trust case filed against a number of tech companies can continue, saying "they still have an antitrust claim" according to Bloomberg.

usdc

[Judge] Koh didn’t take issue with the allegations about the agreements between individual companies, Joseph Saveri, a lawyer for the plaintiffs, said in an interview after the hearing. Instead, Koh has questions about “how it ties together,” or claims of an over-arching conspiracy between all the companies, he said.

The case goes back more than 5 years, according to the lawsuit, which alleges that "no solicitation" agreements appeared in 2005 between Apple, Adobe, Google, Intel, Intuit, Lucasfilm, and Pixar. The agreements prevented companies from contacting employees at other companies who were party to the agreement, though employees were free to apply for jobs at other institutions.

The agreements were investigated in 2010 by the Justice Department. The claims were eventually settled, with the companies agreeing not to form no-solicitation agreements for five years.

The current lawsuit is a class-action civil suit brought by employees who said they were harmed by the anti-competitive actions of the defendant companies.

Popular Stories

iOS 26

15 New Things Your iPhone Can Do in iOS 26.2

Friday December 5, 2025 9:40 am PST by
Apple is about to release iOS 26.2, the second major point update for iPhones since iOS 26 was rolled out in September, and there are at least 15 notable changes and improvements worth checking out. We've rounded them up below. Apple is expected to roll out iOS 26.2 to compatible devices sometime between December 8 and December 16. When the update drops, you can check Apple's servers for the ...
Intel Inside iPhone Feature

Apple's Return to Intel Rumored to Extend to iPhone

Friday December 5, 2025 10:08 am PST by
Intel is expected to begin supplying some Mac and iPad chips in a few years, and the latest rumor claims the partnership might extend to the iPhone. In a research note with investment firm GF Securities this week, obtained by MacRumors, analyst Jeff Pu said he and his colleagues "now expect" Intel to reach a supply deal with Apple for at least some non-pro iPhone chips starting in 2028....
iPhone 14 Pro Dynamic Island

iPhone 18 Pro Leak Adds New Evidence for Under-Display Face ID

Monday December 8, 2025 4:54 am PST by
Apple is actively testing under-screen Face ID for next year's iPhone 18 Pro models using a special "spliced micro-transparent glass" window built into the display, claims a Chinese leaker. According to "Smart Pikachu," a Weibo account that has previously shared accurate supply-chain details on Chinese Android hardware, Apple is testing the special glass as a way to let the TrueDepth...
iOS 26

Apple Seeds Second iOS 26.2 Release Candidate to Developers and Public Beta Testers

Monday December 8, 2025 10:18 am PST by
Apple today seeded the second release candidate version of iOS 26.2 to developers and public beta testers, with the software coming one week after Apple seeded the first RC. The release candidate represents the final version iOS 26.2 that will be provided to the public if no further bugs are found. Registered developers and public beta testers can download the betas from the Settings app on...
iPhone 17 Pro Cosmic Orange

10 Reasons to Wait for Next Year's iPhone 18 Pro

Monday December 1, 2025 2:40 am PST by
Apple's iPhone development roadmap runs several years into the future and the company is continually working with suppliers on several successive iPhone models at the same time, which is why we often get rumored features months ahead of launch. The iPhone 18 series is no different, and we already have a good idea of what to expect for the iPhone 18 Pro and iPhone 18 Pro Max. One thing worth...
Johny Srouji

Apple's Chipmaking Chief Johny Srouji Responds to Report About Him Potentially Leaving

Monday December 8, 2025 9:23 am PST by
Apple's chipmaking chief Johny Srouji has reportedly indicated that he plans to continue working for the company for the foreseeable future. "I love my team, and I love my job at Apple, and I don't plan on leaving anytime soon," said Srouji, in a memo obtained by Bloomberg's Mark Gurman. Here is Srouji's full memo, as shared by Bloomberg:I know you've been reading all kind of rumors and...
Johny Srouji

Apple Chip Chief Johny Srouji Could Be Next to Go as Exodus Continues

Sunday December 7, 2025 10:41 am PST by
Apple's senior vice president of hardware technologies Johny Srouji could be the next leading executive to leave the company amid an alarming exodus of leading employees, Bloomberg's Mark Gurman reports. Srouji apparently recently told CEO Tim Cook that he is "seriously considering leaving" in the near future. He intends to join another company if he departs. Srouji leads Apple's chip design ...
google pixel 10

Switching Between iPhone and Android Will Get Easier With New Apple and Google Collaboration

Monday December 8, 2025 11:10 am PST by
Apple and Google are teaming up to make it easier for users to switch between iPhone and Android smartphones, according to 9to5Google. There is a new Android Canary build available today that simplifies data transfer between two smartphones, and Apple is going to implement the functionality in an upcoming iOS 26 beta. Apple already has a Move to iOS app for transferring data from an Android...
Apple Fitness Plus expansion hero

Apple Fitness+ Coming to 28 New Regions With Digital Voice Dubbing

Monday December 8, 2025 6:19 am PST by
Apple today announced that Fitness+ is expanding to 28 new markets on December 15 in the service's largest international rollout since launch, accompanied by new language dubbing and a K-Pop music genre. Apple Fitness+ will become available in Chile, Hong Kong, India, the Netherlands, Singapore, Taiwan, and additional regions on December 15, with Japan scheduled to follow early next year....
top stories 2025 12 04a

Top Stories: iOS 26.2 Coming Soon, Apple Execs Depart, and More

Saturday December 6, 2025 6:00 am PST by
You'd expect things to be starting to wind down for the holidays by now, but that doesn't seem to be the case yet in the world of Apple news, with Apple just about ready to release iOS 26.2 and other operating system updates to the public. There was also a flurry of news this week about Apple executive departures, some expected and some not so expected, while we also learned that Apple and...

Top Rated Comments

Krazy Bill Avatar
181 months ago
Waaaaaahhhh! I can't break the contract that I signed!
Sure you can. But the other companies can't hire you. :)

Silly agreement. Anything that fosters cooperation between competitors means consumers lose. (And in this case, workers).
Score: 8 Votes (Like | Disagree)
PeterQVenkman Avatar
181 months ago
Waaaaaahhhh! I can't break the contract that I signed!
Nope, you missed the entire meaning of it. It's about making it impossible for talented people to get hired elsewhere, or to keep them from making more money in their field of expertise as they become more talented and experienced.

A business lawyer, Barry Barnett, says it better than I could:

How can you hold down the cost of hiring the best talent?

In lots of businesses, the skill, knowledge, and creativity of workers make a crucial difference. Those traits matter most on the high end of the high-end. Think law, medicine, engineering, physics, computer science, rocket science, oenology, epistemology, and macrame. The high-end could hardly exist without these titans.

So what can you do to manage what you have to pay for their services? Can you agree with firms that compete with you to limit the talent's compensation? Can you exchange promises not to solicit one another's employees? Can you, in short, conspire to restrain trade?

Of course not.

That explains why Lucasfilm reached a deal with the Antitrust Division of the U.S. Department of Justice to end the company's pact with Pixar not to compete for digital animators. In a Complaint it filed as part of the arrangement with Lucasfilm, the Antitrust Division charged that Lucasfilm and Pixar "entered into an agreement not to cold call, not to make courteroffers under certain circumstances, and to provide notification when making employment offers to each other's employees."

Complaint #2: The Lucasfilm-Pixar pact, according to the press release, "eliminated important forms of competition to attract highly skilled employees and, overall, significantly diminished competition to the detriment of affected employees who were likely deprived of information and access to better job opportunities."

Pixar -- along with other high-tech companies including Intel and Apple -- reached a similar deal with the DOJ in September. Post here (http://blawgletter.typepad.com/bbarnett/2010/09/doj-pact-to-stop-high-tech-hiring-hiatus.html).

Note that an agreement with a direct competitor to limit rivalry over hiring employees constitues a per se violation of the Sherman Act. A per se violation doesn't require proof of monopoly power. So you may not want to beguile yourself with the notion that you comply with antitrust law so long as you don't dominate your market.
http://blawgletter.typepad.com/bbarnett/2010/12/animating-competition-doj-settles-claim-against-lucasfilm-for-noncompete-deal-with-pixar.html
Score: 7 Votes (Like | Disagree)
Rodimus Prime Avatar
181 months ago
Waaaaaahhhh! I can't break the contract that I signed!

Problem is the contract was illegal and not like you were given a choice. The boilerplate contracts have many things that are abuse of power.

If you want a job you have to sign that contract like that. So you have 2 choices. Be unemployed or sign a contract like that. There are no other choices.
Score: 7 Votes (Like | Disagree)
samcraig Avatar
181 months ago
Waaaaaahhhh! I can't break the contract that I signed!

What in the world are you talking about?
Score: 6 Votes (Like | Disagree)
AJH1993 Avatar
181 months ago
At least it's not another patent lawsuit... right?
Score: 6 Votes (Like | Disagree)
blewyn Avatar
181 months ago
I can understand to a degree why these companies do this sort of thing. If there were no agreement the tech world would have more technological espionage than it already has.

Google poaches an employee from Apple just to get information. Etc.

There has to be some kind of rule.

There is. It's called competition. You pay your employees enough to keep them from going to the competition. The free market cuts both ways.
Score: 4 Votes (Like | Disagree)