When Can an Employer Be Liable for Harassment by a Customer or Client?

A rude customer is one thing. Persistent, unlawful harassment is another. When a client or customer crosses that line, employers do not always escape responsibility simply because the harasser was not on their payroll.

At Olivier & Schreiber PC, we represent employees who have experienced hostile treatment in the workplace, including situations where harassment is coming from the very people their employer expects them to serve. Customers and clients can create the same intimidating work environment as a coworker or supervisor, and the law recognizes that reality.

An employer may be held liable for harassment by a customer or client when:

• The conduct is severe or pervasive enough that it creates a hostile work environment.
• The employer knew, or reasonably should have known, about the behavior.
• The employer failed to take prompt, appropriate action once aware.

What Customer or Client Conduct Counts as Unlawful Harassment?

Not every unpleasant interaction qualifies as harassment under the law. According to the Equal Employment Opportunity Commission (EEOC), harassment becomes unlawful when enduring the conduct becomes part of continued employment, or when the conduct is severe or pervasive enough that a reasonable person would find the workplace hostile or abusive.

Examples of conduct that may rise to this level include:

• Repeated sexual comments, propositions, or unwanted physical contact.
• Slurs, name-calling, or jokes based on race, sex, religion, national origin, age, disability, or genetic information.
• Threats, intimidation, or physical aggression.
• Persistent behavior that interferes with an employee’s ability to perform their job.

Isolated, minor incidents typically will not meet this threshold. The pattern, frequency, and severity of the conduct all factor into whether it becomes legally actionable.

How Do Prior Complaints or Witnessed Incidents Establish Employer Knowledge?

Employer liability for non-employee harassment depends heavily on notice. The EEOC states that an employer will be liable for harassment by non-employees, such as customers on the premises, if it knew or reasonably should have known about the harassment and failed to take corrective action.

Evidence that can establish this knowledge may include prior written or verbal complaints from the affected employee, reports made by coworkers who witnessed the conduct, and a documented history of similar behavior by the same customer or client. Once an employer has this information, the clock starts on its obligation to respond.

What Should Employees Do if the Harassment Continues?

If an employer fails to act in response to the given notice, documentation can become an employee’s strongest asset. Consider taking the following steps:

• Write down each incident, including the date, time, location, and any witnesses present.
• Save relevant emails, text messages, or internal complaint forms.
• Report the conduct to a supervisor or human resources in writing whenever possible, so an official record exists.
• Note how the employer responded, or failed to respond, after each report.

This record can later demonstrate that the employer had notice and chose inaction, which can help prove liability.

Talk to an Employment Law Attorney About Your Situation

Harassment by a customer or client can feel isolating, especially when an employer continually looks the other way. Federal law protects employees from this kind of hostile treatment, and employers who ignore credible complaints may bear responsibility for the harm that follows.

If you have reported harassment from a client or customer and your employer has done nothing, you do not have to figure out the next step alone. Contact Olivier & Schreiber PC today for a case evaluation, and start learning what legal options may be available to you.