Showing Posts In "Legal Issues" Category





Wisconsin Court Finds Permissible Purpose Under FCRA, Despite Alleged Lack of Consent

The plaintiff in Long v. Bergstrom Victory Lane filed Fair Credit Reporting Act (FCRA) and other claims after an auto dealer submitted her credit application and report in connection with financing for a vehicle. Long allegedly only authorized the dealership to run her credit application with one company, but later learned that it had done […]


Third Circuit Rejects Plaintiffs Disclosure-Based FCRA Class Claim on Spokeo Grounds

The Court of Appeals ruled that a group of plaintiffs lacked standing to assert claims brought under the Fair Credit Reporting Act (FCRA) in Long v. Southeastern Pennsylvania Transportation Authority. The plaintiffs in the case alleged that SEPTA violated the FCRAs pre-adverse action notice provision by terminating their employment without first providing them with a […]


State Law Claims Beware: When FCRA Preempts Claims Brought Under Other Laws

The Fair Credit Reporting Act (FCRA) contains at least two express preemption provisions that means, in general, where a state law could conflict with federal law, only the federal law survives. The first preempts common law claims against consumer reporting agencies for their credit reporting activities unless the claims are based in malice or willful […]


Now Weve Got Your Attention: Recent Amendments to SF Fair Chance Ordinance Give Job Applicants Right to Sue and Send Penalties Soaring

The cities of San Francisco and Los Angeles recently instituted Fair Chance ordinances that require employers to state on their job postings that an arrest or conviction will not automatically disqualify a qualified application from consideration from employment. Amendments, which went into effect October 1, 2018, include an expanded scope of the law to cover […]


Council Passes Ban the Box Ordinance by District C Councilmember Kristin Gisleson Palmer

A Ban the Box ordinance recently was passed in New Orleans that will prohibit the City and City contractors from asking potential employees about their criminal history in initial job applications. Effective March 1, 2019, the ban is similar to a policy that was passed in 2014 for classified and unclassified jobs in all City […]


Furniture Retailer Rooms to Go Adopts Revised Criminal Background Check Procedures in Cooperation with the EEOC

A voluntary conciliation agreement was reached between the U.S. Equal Employment Opportunity Commission (EEOC) and Rooms To Go after Rooms To Go was accused of race discrimination by an unsuccessful black applicant. The company has made proactive changes to its hiring and screening policies and has removed any blanket exclusions for criminal conviction questions. The […]


Let It Burn: Court Does Not Believe Defendant Intentionally Destroyed Records to Avoid Identification of Potential Plaintiffs in FCRA Class Action

The plaintiffs in Martinez v. Triple S Props. alleged in a motion for negative inference brought under Federal Rule of Civil Procedure 37, that the defendant intentionally burned documents relevant to the suit after it was filed to prevent disclosure of information about the potential class. The defendant was accused of violating the Fair Credit […]


Consistency is Key: FCRA Case Survives Summary Judgment Due to Inconsistencies in Report

The plaintiff in Chiarello v. Trans Union, LLC, filed Fair Credit Reporting Act (FCRA) claims against the three national credit bureaus. The defendants reported that the plaintiff was delinquent in his child support payments. The plaintiff contacted the defendants to dispute the information and Experian later prepared a merged report that included information from its […]


What is a “Reasonable” Reinvestigation: Defining Consumer Reporting Agency Obligations Under FCRA

The plaintiff in Thomas v. Hyundai Capital Am. alleged a car dealership, collection agency and Equifax all violated the Fair Credit Reporting Act (FCRA). The plaintiff leased a vehicle and was asked to pay about $1,100 in fees for excess wear on the vehicle, a disposition fee and taxes. A collection agency was hired by […]


Omnicare Credit Reporting Class Action Settlement Gets Green Light

In August, a California federal judge preliminarily approved a proposed $1.3 million class action settlement over allegations Omnicare Inc.s background check authorization practices violate federal and state credit reporting laws. According to the class action lawsuit, plaintiff Ijeoma Esomonu claims the disclosures she signed violated the Fair Credit Reporting Act (FCRA) because they were embedded […]




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