Showing Posts In "Legal Issues" Category





Employers Should Share All Background Check Reports Before Revoking Job Offers

A federal judge ruled that an employer did not comply with requirements of the Fair Credit Reporting Act (FCRA) when it failed to send a rejected candidate a final background check report and required notices. Lemuel Wright argued that Lincoln Property Company violated the FCRA when it failed to provide him with time to contest […]


Three Companies Agree to Settle FTC Charges They Falsely Claimed Participation in EU-US Privacy Shield Framework

In separate complaints, the Federal Trade Commission (FTC) alleges that three companies – Decusoft, LLC, Tru Communication, Inc., and Md7, LLC, violated the FTC Act by falsely claiming that they were certified to participate in the EU-US Privacy Shield. Decusoft also has been accused of falsely claiming participation in the Swiss-U.S. Privacy Shield framework. The […]


High Alert for California Employers and Employers Nationwide for the Second Wave of FCRA Class Actions

Employers in the state of California are being urged to stay alert and remain vigilant when it comes to the Fair Credit Reporting Act (FCRA), as the plaintiff’s bar continues to pursue actions against employers that operate in plaintiff-friendly jurisdictions. The FCRA imposes requirements on employers who use “consumer reports” or “investigative consumer reports” for […]


Fair Credit Reporting Act Fuels Class Action Litigation Against Starbucks

Rejected job applicant Kevin Wills recently filed a proposed class action in federal court in Georgia, alleging that Starbucks violated the Fair Credit Reporting Act (FCRA) when it reviewed the applicants’ respective consumer background reports without providing them with a copy. The FCRA requires employers to 1. Certify to job applicants that consumer background reports […]


EEOC Sues Con Edison for Demanding Medical Exams Before Hiring

The U.S. Equal Employment Opportunity Commission (EEOC) has sued Con Edison, alleging the utility improperly required job applicants to submit to medical examinations and provide genetic information of family members before being hired. The complaint also accused Con Ed of discriminating against three employees with disabilities, causing hours to be drastically reduced and one individual […]


Court Holds that Receiving an Updated Background Report May Require a Second Pre-Adverse Action Notice

A judge in the Eastern District of Pennsylvania was faced with determining how an employer can comply with the adverse action process if it relies on an initial background report before revoking a job offer, but then receives a subsequent, corrected report. In Wright v. Lincoln Prop. Co., the background report of the plaintiff was […]


California Passes State-Wide Ban-the-Box Law

California Governor Jerry Brown signed Assembly Bill 1008, which amends the Fair Employment and Housing Act (FEHA) to add new Government Code section 12952. The section, which will restrict an employer’s ability to make hiring decisions based on an applicant’s conviction records, will apply to employers with five or more employees. Only a small handful […]


California Enacts Law Barring Pre-Employment Inquiries About Salary History

California Governor Jerry Brown recently signed into law a statute that prohibits employers from seeking salary-history information about an applicant for employment. Including compensation and benefits information, the prohibition applies to both salary-history inquiries and those made by an agency acting on behalf of an employer. It also prohibits employers from relying in whole or […]


CA Implements Significant Changes in the Employment Application Process, Employee Training, and Protected Leave

California Governor Jerry Brown signed several bills in October, two of which focus on the information employers can obtain from potential job applicants. AB 168 makes it unlawful for California employers to obtain or rely upon an applicant’s salary history to determine job eligibility and/or salary. It does not, however, prohibit a job applicant from […]


Negligent Infliction of Emotional Distress Claim for Job Applicants Remain Viable

A judge recently allowed a claim of emotional distress to continue, denying the employer’s motion to dismiss. The case found that the employer knew the plaintiff suffered from post-traumatic stress disorder (PTSD) and waited until one day before she was scheduled to begin work to rescind her job offer. The allegations were such that actions […]




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