Wynn Las Vegas files lawsuit against Fontainebleau alleging employee poaching

Wynn Las Vegas has initiated legal action against Fontainebleau Las Vegas, accusing the latter of a persistent campaign to lure away Wynn's top employees, according to court documents filed last Thursday.

The lawsuit alleges that Fontainebleau engaged in repeated efforts to recruit Wynn executives and staff, despite alleged assurances given during prior meetings between the resorts' executives. Wynn officials claim that Fontainebleau's actions not only violated contractual agreements but also undermined the integrity of their workforce.

Fontainebleau is accused of targeting key personnel in Wynn's nightlife, restaurant, and executive chef departments, among others. The lawsuit details specific instances where Fontainebleau representatives reached out to Wynn employees, sometimes even posing as paying guests to access targeted individuals.

One such incident in 2022 involved Fontainebleau's General Counsel, Mike Pappas, allegedly recruiting a senior Wynn executive who had recently renewed his contract. Despite legal action taken by Wynn against Fontainebleau and the employee involved, the lawsuit claims that Fontainebleau continued its recruitment efforts.

Wynn CEO Craig Billings reportedly intervened directly, urging Fontainebleau's CEO Jeff Soffer to cease the recruitment efforts. However, according to Wynn, the poaching attempts persisted, culminating in a recent incident involving the senior vice president of nightlife at Fontainebleau allegedly enticing a key Wynn executive to breach their non-competition agreement.

Wynn Resorts seeks an injunction to prevent further poaching attempts by Fontainebleau and is pursuing damages in excess of $15,000, as determined by the court. 

“Clearly, we want all operators in Las Vegas to be successful; it’s good for the city in which we all live,” the company said in a statement issued after the lawsuit was filed. “We just want that to happen without interference in the contractual agreements our employees have negotiated with us.”

The Wynn lawsuit names Fontainebleau Las Vegas II LLC, Fontainebleau Development LLC, Bowtie Development LLC, all doing business as Fontainebleau Las Vegas, and 10 unnamed individual defendants, reports Las Vegas Review-Journal.