Disclosure Forms: “Concise Explanation” Permissible

The Ninth Circuit Court of Appeals issued a must-read decision for employers relating to disclosure and adverse action under the Fair Credit Reporting Act (FCRA). Specifically, the court analyzed what language may be included on a disclosure form and found that an employer may “describe what a ‘consumer’ report entails, how it will be ‘obtained,’ and for which type of ‘employment purposes’ it may be used.” In addition, the court reviewed the company’s disclosure form to determine if the language met the “solely” requirement and discussed the employer’s pre-adverse action requirements.

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Posted Under: Legal Issues

Post By Ken Shafton (2,355 Posts)