There is a significant difference between pre-employment background checks and investigative background checks, and knowing the difference could prevent a lawsuit. Pre-employment background checks are highly regulated by governmental agencies and laws, such as the Fair Credit Reporting Act (FCRA). There are no laws, however, unless obtaining a credit report, restricting a private investigator from preparing a common investigative report. It should be understood that most databases prohibit using their information for pre-employment background checks because the information they contain is comprehensive.