There are a lot of employers who normally hire people only after a period of time as a contractor.
They seem to hire people as contractors and they go through a contracting agency that is separate from the employers business. The contracting agency pays them hourly and then bills the employer.
They normally will either convert the person from a contractor to employee if they like their work, or they will let them go if they don't like them. The normal period of time as a contractor seems to be from 6 to 12 months.
Lately a company that is providing contractors in this scenario has begun to tell contractors that if they go to work for the company as employees they will sue them.
Is that legal given that the original deal was as a contract-to-hire basis? What would someone do if they were offered employment and then the contracting agency threatened to sue the person?