Showing Posts In "Legal Issues" Category

Faulty Background Checks Prompts Class Action Lawsuit

Although Michele Petry’s criminal background is clean, she was denied employment with IDE Management, which claims her background report revealed multiple felonies. Petry filed a class action lawsuit against the company in U.S. District Court for the Southern District of Indiana, Evansville Division. The company, which does business as Cathedral Health Care Centers, denied her […]

Provider Hit with Class Action Lawsuit Over Inaccurate Background Check Report

IMG, doing business as Cathedral Health Care Center, an Indiana-based healthcare management group, has been accused of violating the Fair Credit Reporting Act. Michele Petry filed the class action lawsuit after a false background check report caused her to be denied for employment. The company refused to provide a copy of the report, which showed […]

EEOC’s Race Discrimination Suit Against Janitorial Company Includes Background

A new discrimination lawsuit by the Equal Employment Opportunity Commission (EEOC) has revealed that the group remains interested in trying to use litigation to discourage employers from directly or indirectly screening out the protected class members who tend to be arrested and convicted at higher rates. The plaintiff, an African American, was hired in 2014 […]

Disneyland Job Applicants Granted Class Cert. in FCRA Lawsuit

Two plaintiffs in a class action lawsuit against Disneyland claim the business has made hundreds of adverse employment decisions based on job applicants’ background check reports without providing required notifications under the federal Fair Credit Reporting Act (FCRA). Without proper notice, potential employees cannot correct any errors before being denied employment. According to the plaintiffs, […]

California Court Certifies FCRA Class of Over 40,000 Applicants

While most Fair Credit Reporting Act (FCRA) lawsuits proceed in federal court, plaintiffs are permitted to file in state court. A class action was recently filed in state court in Los Angeles, where the judge did not decide on any issues of liability, but rather that those questions can be decided in one proceeding on […]

Senate Oks Bill Allowing Churches to Seek Background Checks for Those Working or Volunteering with Children

The Senate unanimously approved legislation sponsored by Sen. Cynthia A. Coyne to protect Rhone Island youth. Meant to help churches and other religious institutions protect children from people who have a history of abuse or other dangerous crimes, the legislation requires anyone 18 or older who is seeking employment or volunteer opportunities with routine contact […]

Plaintiffs Don’t Stand Tall in Texas FCRA Class Action

In light of the Supreme Court’s decision in Spokeo, Inc. v. Robins, 136 S.Ct. 1540 (2016) and Dyson v. Sky Chefs, Inc., 2017 WL 2618946 (N.D. Tex. June 16, 2017), it would be wise for employers to evaluate their Fair Credit Reporting Act (FCRA) compliance. Businesses should update all FCRA documents and train managers and […]

Former Bank of America Worker Wins Appeal on Defamation Charge

The former vice president of Charlotte, N.C.-based Bank of America who was terminated in January 2013 accused the bank of falsely reporting it had conclusive evidence of her criminal wrongdoing to Early Warning Services L.L.C. Charges included blacklisting and defamation for reporting her after a conflict with a relative who claimed the employee withdrew funds […]

Federal District Court Upholds Employer to its Promise in FCRA ‘Pre-Adverse Action’ Notice

It was determined by the U.S. District Court for the Eastern District of Wisconsin that an employer potentially violated the Fair Credit Reporting Act (FCRA) when it provided the employee with three days to dispute information contained in the background report rather than the five it promised in the pre-adverse action notice. After notifying the […]

Ohio House Proposes Hurdles to Hiring Process

Although the Ohio House has proposed a bill that is intended to protect the privacy of employment applicants, the bill could make the hiring process more cumbersome for employers. House Bill 187 provides that no employer may request an applicant’s Social Security number, date of birth or driver’s license number before making an offer of […]

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