Suing for Third-Party Sexual Harassment by Customers or Vendors in Michigan
In Michigan, employers have a strict legal duty to protect their staff from sexual harassment committed by non-employees, such as customers, clients, or vendors. If your employer knew about the third-party harassment and failed to act, you can file a lawsuit against the company.
Most sexual harassment training focuses exclusively on managers and co-workers. But what happens when the person harassing you does not even work for your company? In retail, B2B sales, and delivery jobs across Michigan, employees frequently interact with the general public, wealthy clients, and third-party vendors. If a non-employee crosses the line into sexual harassment, your employer cannot simply shrug it off and say "the customer is always right." Under state and federal law, your employer has an absolute legal obligation to protect you from third-party sexual harassment, even if it means losing money or firing a client.
The "Knew or Should Have Known" Legal Standard
Under Michigan's Elliott-Larsen Civil Rights Act (Mich. Comp. Laws § 37.2103), an employer is held to a negligence standard and is liable for third-party harassment if they "knew or should have known" about the conduct and failed to take immediate and appropriate corrective action. In contrast, for federal claims under Title VII (42 U.S.C. § 2000e), the Sixth Circuit established in Bivens v. Zep, Inc., 147 F.4th 635 (6th Cir. 2025) that an employer is liable for non-employee harassment only if they intended the harassment to occur or demonstrated deliberate indifference. Under Michigan state law, this negligence standard remains vital: the moment you report a harassing customer to your boss, the company is legally obligated to intervene and prioritize your safety over any business relationship.
Retail Workers Stalked by Regular Customers
Retail workers in malls and standalone stores often deal with "regulars." Sometimes, a regular customer becomes overly fixated on a specific employee, making inappropriate sexual comments, asking for dates repeatedly after being firmly rejected, or lingering in the store just to stare. If a retail worker reports this stalking behavior, the store manager must take decisive action-such as formally banning the customer from the premises, calling the police for trespassing, or ensuring the employee is never forced to serve that individual.
B2B Salespeople Harassed by Wealthy Clients
In business-to-business (B2B) sales, there is immense pressure to close deals and keep wealthy, high-revenue clients happy. Unfortunately, some powerful clients abuse this dynamic by demanding sexual favors or subjecting the salesperson to explicit conduct during business dinners and corporate events. An employer in Michigan cannot force an employee to endure sexual harassment simply because the client generates significant revenue. The company must intervene, even if it means reassigning the account or firing the client entirely.
Delivery Drivers Harassed by Recipients
Delivery drivers are uniquely vulnerable because their job forces them to travel to private homes and secluded businesses. If a recipient answers the door inappropriately dressed, makes severe sexual demands, or attempts to physically trap the driver inside the property, this constitutes severe harassment. Logistics companies must allow drivers to blacklist dangerous addresses and immediately refuse future deliveries to individuals who have a known history of sexually harassing their staff.
Steps to Take if a Non-Employee is Harassing You
The single most important step is to put your employer on notice. Report the third-party harassment in writing to your HR department or direct supervisor via email so there is a timestamp. Keep a detailed log of every incident, including dates, times, and exactly what the customer or vendor said. If your employer refuses to help, you can formally file a complaint with the Michigan Department of Civil Rights, Lansing or the Equal Employment Opportunity Commission, Detroit using Form 5, FED, Equal Employment Opportunity Commission, Charge of Discrimination.
| Retail Customers | Must ban the individual from the store or restrict their access to the targeted employee. |
| Third-Party Vendors | Must demand the vendor company assign a different representative to the account. |
| High-Value Clients | Must prioritize employee safety over business contracts, up to and including terminating the contract. |
Seeking Justice in Michigan Courts
If your employer completely failed to protect you after being warned, you could file a lawsuit in a state court, such as the Kent County Circuit Court, Grand Rapids or the Oakland County Circuit Court, Pontiac. You can seek compensation for lost wages (especially if you were forced to quit or were fired for complaining), immense emotional distress, and expensive attorney's fees. Courts have repeatedly held that employers ultimately control the work environment, and they have the power-and the legal obligation-to remove third-party threats. You can browse our directory to find a local lawyer who can evaluate your third-party harassment claim.
Frequently Asked Questions (FAQ)
Can I sue the customer directly for sexual harassment?
You generally cannot sue a customer under employment discrimination laws like 42 U.S.C. § 2000e, because they are not your employer. However, you can sue the customer directly for personal injury claims like assault, battery, or intentional infliction of emotional distress.
What if my boss says I should just ignore the client?
If your boss tells you to ignore severe harassment because the client is important, they are violating the law. By failing to take corrective action after being notified, your employer becomes legally liable for the hostile work environment.
Do I have to quit my job to file a lawsuit?
No. You can file a charge of discrimination with the EEOC or MDCR while still employed. However, if the harassment is so severe that a reasonable person would feel forced to resign, you may have a claim for "constructive discharge."
Is the company liable if the harassment happens off-site?
Yes. If you are harassed by a client during a business trip, a corporate dinner, or at the client's office, you are still within the scope of your employment. Your employer must still protect you in these off-site, work-related environments.
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