Avoid the temptation to lure star applicants by painting an overly rosy financial picture of the organization or making misleading statements about job security. One faulty promise could lead to a fraud lawsuit.
Case in point: An employee accepted a job at Adidas and relocated his family from France to Oregon. Six months later, he was terminated. He sued, alleging breach of contract and fraud, saying that a manager promised the job would last at least two years. The employee won in court because Adidas intentionally misrepresented the position. (Arboireau v. Adidas-Salomon AG, No. 02-35398, 9th Cir., 2003)