Workplace harassment by a client could lead to what kind of liability for the agent or company?

• A. No legal risk if unreported.
• B. Employment-related suits from employees.
• C. Only reputational damage with no legal liability.
• D. Only internal administrative warnings.

Answer: (B)

Workplace harassment by a client can create employment-related liability for the company or its agents because employers have a duty to provide a safe working environment and to act against harassment that occurs in the course of work. If management knew or should have known about the harassment and failed to take appropriate action, employees can pursue lawsuits alleging hostile environment, discrimination, or other employment-law claims. Even though the harasser isn’t an employee, the harm happens within the workplace and the employer can be held responsible through theories like vicarious liability or negligent supervision. That’s why the correct idea is that employment-related suits from employees are a real risk. The other options miss the legal implications, since harassment can lead to more than internal discipline or reputational harm, and can indeed expose the company to legal claims if not addressed.