Showing Posts In "Legal Issues" Category





One Simple Step Congress and the Courts Must Take to Increase Accuracy in Background Checks

In an opinion piece published by The Hill, the issues surrounding policymakers’ roles on the impact of the overall effectiveness of a background check is discussed. In place to protect the homeland, workplaces, citizens and assets, the background check is performed through various means. For instance, a one-time instant check is completed when a gun […]


Court Slashes FCRA Punitive Damages Award from $3 Million to $490,000

A Northern District of Alabama judge reduced the punitive damages from $3 million to less than $500,000 in a Fair Credit Reporting Act (FCRA) claim after the court held that the original award was not justified given the plaintiff’s “relatively minor injury.” Shawn Younger filed suit against Experian Information Solutions, Inc., Equifax Information Services, LLC […]


Proposed Amendments to FCRA Legislation Would Significantly Impact Employment Background Checks

The subject of a hearing by the House Financial Services Committee on February 26, a draft legislation to amend the Fair Credit Reporting Act (FCRA) could have a significant impact on the information available to employers from consumer reporting agencies for background screening purposes. Most of the hearing, “Who’s Keeping Score? Holding Credit Bureaus Accountable […]


State Regulators Slap Largest Fine in Background-Check Case Against Energy Marketer

In what is the largest fine in a background-check case, Houston’s Vista Energy Marketing faces a more than $50,000 fine for hiring door-to-door salespeople without first conducting background checks. The case stems from a Bucks County rape allegation that came to the state Public Utility Commission (PUC) from the Bensalem police. Following an investigation, PUC […]


Lawsuits Allege Gig-Economy Workers Fall Victim to Checkr’s Artificial Intelligence

Background screening company Checkr last year boasted processing more than 1 million background checks each month for more than 10,000 clients. It’s doing so using artificial intelligence (AI) to increase speed and accuracy. The company also has seen a rise in the number of lawsuits it faces – 40 to be exact – for violations […]


Colorado Governor Signs Bill Requiring Name Based Background Checks

Current law in Colorado requires certain people, including applicants for certain licenses, employment, or volunteer activities, to undergo a fingerprint-based criminal history check, but a new bill signed into law adds a requirement. When the fingerprint-based check reveals a record of arrest, but does not show disposition in the case, the individual must now submit […]


Starbucks Prepares to Settle Lawsuits Over Flawed Background Checks

Two class actions – one filed in December 2016 in the U.S. District Court for the Western District of Washington, and the other in September 2017 in federal court in Atlanta, have been consolidated in Georgia “for the purpose of settling both class actions and directing notice to a single nationwide class.” In both cases, […]


Employer Prevails in FCRA Class Action in California

A recent Court of Appeal decision may have been a victory for employers, but laws regarding the Fair Credit Reporting Act (FCRA) remain dynamic. The alleged class-wide violations of the case involve the employers “standalone” disclosure requirement and its denial of applicants based on information in their consumer reports without first providing the requisite pre-adverse […]


Another “BIG” FCRA Class Settlement

A settlement has been reached in Kelly v. Business Information Group, Inc. (BIG), 2019 WL 414915 (E.D. Penn. Feb. 1, 2019). A magistrate judge in the Eastern District of Pennsylvania granted motions in February for Final Approval of Class Action Settlement and Award of Attorneys’ Fees and Reimbursement of Expenses that charges BIG to establish […]


How to Conduct Individualized Assessments in Background Checks

In 2012, the Equal Employment Opportunity Commission (EEOC) published guidance for employers that aimed to help people in demographic groups with higher incarceration rates get jobs and not be automatically excluded from the candidate pool due to a criminal history. The individualized assessment process caused some confusion for employers, however. In fact, a 2015 survey […]




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