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a good recruiter has placed people into and out of your firm. there is no conflict here. your priority is to use the best recruiter you can find because it makes a difference and you only have one career.
If they’ve recently placed someone at your firm there will be a conflict for them. They may also choose not to recruit out of your firm to maintain a good relationship. But an honest recruiter should be upfront about that, and be able to refer you to someone they trust, if they’re unable to help you.