Employers Can Check Applicants’ LinkedIn References Without Violating the FCRA

Employers Can Check Applicants’ LinkedIn References Without Violating the FCRA

Employers Can Check Applicants’ LinkedIn References Without Violating the FCRA

The United States District Court for the Northern District of California recently dismissed a proposed class action alleging that LinkedIn was a Consumer Reporting Agency (CSA) under the FCRA and violated the law when it provided an online feature that allows businesses to check applicants’ references on the site without the applicants’ knowledge. The Plaintiffs unsuccessfully argued that the site’s “Reference Search” feature produced “Consumer Reports” (CR) under the law. The Court found that LinkedIn is not a CSA, therefore it could not create a CR. Although this is an indication that Courts are not willing to expand the FCRA’s application to social media, the Court’s ruling is not completely determinative of the issue.

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