Two job applicants filed a class action lawsuit against AI screening company Eightfold AI, alleging violations of the Fair Credit Reporting Act (FCRA) and California consumer protection laws. Plaintiffs claim the platform created detailed candidate reports without proper disclosure, authorization, or opportunities to review them, potentially affecting hiring decisions. The case argues that AI-generated assessments constitute “consumer reports,” which would require specific legal protections and compliance steps from vendors and employers using such tools.

