Showing Posts In "Lawsuits" Category

Federal Appeals Court Sides with Employer in Job Applicant’s Background Check Suit: 3 Steps to Avoid Similar Claims

According to the decision in Schumacher v. SC Data Center, Inc., a job applicant who didn’t disclose a felony conviction can’t sue her prospective employer under the Fair Credit Reporting Act (FCRA) for failing to provide proper notice before rescinding her offer. The ruling is good news for employers, but it is important to proceed […]

Appeals Court Finds FCRA Does Not Establish Right to Dispute Background Check Report Directly with Employer

A class-action lawsuit filed against an employer alleged three violations of the Fair Credit Reporting Act (FCRA). The United States Court of Appeals for the Eighth Circuit found that there was no provision of the FCRA that established a right for a prospective or current employee to dispute or explain the contents of a background […]

Eighth Circuit Finds That Class-Action FCRA Plaintiff Lacks Article III Standing Under Spokeo

The Eighth Circuit’s decision in Schumacher v. SC Data Center, Inc., provides a reminder that employers who find themselves defending against Fair Credit Reporting Act (FCRA) claims should closely scrutinize whether plaintiffs have alleged mere procedural violations or the kind of concrete harm sufficient to open the doors to the federal courthouse.

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Government Obtains Settlement for Injunctive Relief and Millions in Consumer Redress from MyLife.com and CEO Jeffrey Tinsley

MyLife.com has been accused by the government of, among other accusations, selling subscriptions to their website’s consumer background report service by implying that individuals had criminal records that could be viewed only by buying a subscription. An order was issued by a federal district court in the Central District of California that found MyLife violated […]

District Court’s FCRA Decision Offers Guidance for Employers on “Clear and Conspicuous” Disclosures and Willfulness

The Ninth Circuit Court of Appeals partially reversed the decision of the District Court for the District of Oregon when it dismissed a Fair Credit Reporting Act (FCRA) suit filed against Fred Meyer, Inc. The court held that Fred Meyer had failed to comply with the FCRA’s “standalone” requirement by providing, in good faith, an […]

Colorado Supreme Court Ruling is a Victory for Consumers

It was a victory for consumers in Colorado who recently received assurance that employers cannot escape liability for failing to screen who they hire. The Colorado Supreme Court ruled in Brown v. Long Romero that a trial court erred in dismissing negligent hiring claims against an employer for failing to use reasonable care in hiring […]

Supreme Court to Take a Stand on Standing, Granting Cert. of 9th Circuit’s Ramirez Decision

In a welcomed opportunity for clarity in the standing context as it applies to class actions, the Supreme Court granted cert in Ramirez v. TransUnion LLC. The case involved a product offered by TransUnion to identify consumers with names designated by the Department of the Treasury’s Office of Assets Control (OFAC) as posing a national […]

11th Cir. Rejects FCRA Claim, Adopts ‘Maximum Possible Accuracy‘ Standard

The U.S. Court of Appeals for the Eleventh Circuit held that a consumer report that was factually accurate with clear instructions on how to further confirm the report’s accuracy was not misleading and complied with the Fair Credit Reporting Act’s (FCRA) “maximum possible accuracy.” The opinion was issued in Erickson v. First Advantage Background Services […]