Is something fishy going on? Is it odd that another independent recruiter wants to put the numbers in my books only?

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So I'm working with another independent recruiter and I'm a bit confused as to why he proposed this type of arrangement. They found the client, but they want the fee agreement to be signed under my name. Is it odd that another independent recruiter wants to put the numbers in my books only? Sorry if the reasons why they would want to do this is obvious, but I'm just not catching it.Is there something fishy going on?

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Permalink Reply by pam claughton on January 31, 2009 at 10:56am: Is that recruiter still affiliated with an agency? If I had to guess, it's one of two things, either that person is still with the agency and trying to do a deal on the side, or that person is independent, but is trying to work around a non-compete agreement, and this way technically you are the one on the record for it. I'd come out and ask them. There's no good reason for them to want to do this, it definitely is shady, and you may want to back out of this arrangement rather than get caught in the middle of what could be a mess if that recruiters current or former agency catches wind of the situation, which is likely.; ▶ Reply to This

Permalink Reply by Diane Skullr on February 15, 2009 at 6:12pm: I don’t think it’s necessarily shady but I would ask. It could be simply that they are not insured.; ▶ Reply to This

Permalink Reply by Alon Kim Dacquel on February 15, 2009 at 6:47pm: I never thought of that....How many recruiters are actually insured though?
Diane Skullr said:
I don’t think it’s necessarily shady but I would ask. It could be simply that they are not insured.; ▶ Reply to This

Permalink Reply by pam claughton on February 16, 2009 at 4:38pm: I doubt it. It sounds shady to me. Insured or not insured is rarely an issue. Unless you are looking to do temp/contract staffing and do all your own payrolling.

Diane Skullr said:
I don’t think it’s necessarily shady but I would ask. It could be simply that they are not insured.; ▶ Reply to This

Permalink Reply by Linda C. Flores on March 2, 2009 at 8:57pm: This is very interesting. Do you have a legal binding agreement with this independent recruiter? Is this for contract, contract to hire or a direct hire placement? If it's contract or contract to hire it could be an E&O/general liability insurance/workers comp issue. If it's not, and it's a direct placement than I am curious why he would ask you to do this. In either case this independent recruiter should already have a contract in place with this client if he is on the up and up. Has this independent recruiter indicated that a contract with the terms of the agreement, guarantees etc are in place with the client and it has been signed off? If not, has he asked you to sign an agreement with his client? If he wants you to put it on your books you would need a signed contract with his client to protect yourself and insure a timely payment. Those would be my first concerns. My second concern would be as Pam mentioned, that he is still employed with another agency or under a non compete. This could be a problem ethically and legally. I don't think you want to get tangled up in a legal issue. I would definitely be direct and ask all these questions. You don't want to run into a situation where you have invested a lot of time & energy, found the ideal candidate and end up not getting paid.; ▶ Reply to This