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Deel loses bid to bar key witness in Rippling spy case, Bloomberg reports

Deel Loses Bid to Bar Key Witness in Rippling Spy Case, Reports Bloomberg

Deel has failed in its attempt to prevent a key witness from testifying in Rippling’s corporate espionage lawsuit, according to a report by Bloomberg. US Federal Judge Charles Breyer rejected Deel’s request to block testimony from Keith O'Brien, a former Rippling employee.

Background:

Rippling, a provider of HR and payroll software, sued Deel in March 2025, alleging that Deel recruited O'Brien to steal confidential company information. Deel has denied these claims. In July, Deel sought to block O’Brien’s testimony, citing his refusal to answer questions and invoke his Fifth Amendment right against self-incrimination.

Judge's Decision:

Breyer ruled against Deel, stating that the company had avoided efforts to resolve the dispute and refused assurances from O'Brien's lawyer regarding his Fifth Amendment rights. He also dismissed Deel’s counterclaims against Rippling, including allegations of extortion and whistleblower retaliation.

The judge did, however, allow Deel to pursue some claims under US false advertising law (Lanham Act) related to Rippling’s alleged misrepresentations to clients.

Rippling's Response:

In a statement, Rippling declared, "Deel’s efforts to avoid facing justice continue to collapse."

The case, People Center Inc. v. Deel Inc., continues in the US District Court for the Northern District of California.

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