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On July 7, the United States District Court for the Southern District of California preliminarily approved a $1.75 million class action settlement under the FCRA involving Chuck E. Cheese’s background check practices. This settlement serves as another reminder of the…
Under the federal Fair Credit Reporting Act (FCRA), background screening companies (or consumer reporting agencies) are generally prohibited from reporting certain types of derogatory information that the FCRA considers to be too old to be useful, i.e., obsolete. The…
In a state court in Manhattan, the National Association for the Advancement of Colored People (NAACP) sued a class of companies it said were breaking city and state laws that bar businesses from refusing to consider former convicts for jobs. Since New York’s…
An almost $3 million class action settlement was reached with Food Lion LLC and its parent company Delhaize America LLC to resolve allegations that the company used illegal background check procedures on its job applications, in violation of federal law. The Food Lion…
Cook County, Illinois enacted a bill (No. 15-3088) that amends the Cook County Human Rights Ordinance to restrict employers from asking about or otherwise considering a prospective or current employee’s credit history in employment decisions. The new ordinance…
The U.S. Court of Appeals for the Fourth Circuit dealt a lethal blow to the EEOC’s hiring check enforcement litigation inEEOC v. Freeman, No.13-2365 (4th Cir. Feb. 20, 2015). The decision affirms a summary judgment ruling by Judge Roger Titus of the U.S….
Forty percent of the consumer class actions filed in Virginia in 2014 alleging violations of the Fair Credit Reporting Act (“FCRA”) relate to background reports for employment purposes. With one exception, all of the cases are against consumer reporting…
Genesis Healthcare hired plaintiff Doris Ramos in July 2014 to work as an occupational therapist, then rescinded the job offer after a background check, the complaint states. Ramos contends that Genesis never provided her with a copy of the background check and a…
The EEOC has been ordered by a federal court to turn over its own background check policy to an employer whom it is suing for a criminal background check policy that allegedly had a disparate impact on black employees. The employer had moved to compel to produce…
On Dec. 4,2014 Christina Graham, a resident of New Jersey, filed a background check class action lawsuit against Michaels Stores Inc., lawsuit alleging the retailer did not disclose to her and other job applicants that the company runs background checks-criminal…