Conducting background checks is both a necessary and risky venture that employers take on when hiring and retaining employees. Employers are increasingly finding themselves in litigation challenging the use of background checks as part of the screening process when hiring new employees. In light of this litigation trend coupled with recent local and state restrictions on the content and scope of background checks, in order to avoid litigation, employers need to be aware of their rights, duties and limitations with respect to conducting background checks. Employers must also keep in mind the regulations contained in the FCRA. Finally, employers are increasingly being hit with negligent hiring lawsuits. To avoid this, performing background checks is important for certain higher-risk positions.

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