In Schumacher v. SC Data Center, the plaintiff brought three class action claims against SC Data Center, Inc. under the Fair Credit Reporting Act related to its pre-employment background check process. Specifically, the plaintiff alleged that SC Data Center’s background check process violated the disclosure and adverse action provisions of the FCRA. The substance of… Continue Reading
The Federal Trade Commission (“FTC”) recently issued guidance applicable to background screening companies (aka consumer reporting agencies) who engage in tenant screening. The FTC highlights four key responsibilities of background screening companies covered by the Fair Credit Reporting Act (“FCRA”), specifically: “Follow reasonable procedures to ensure accuracy. Get certifications from your clients. Provide your clients with […]Continue Reading...
A federal judge in the Northern District of California certified a class of job applicants in a lawsuit claiming a background check firm violated the federal Fair Credit Reporting Act. The Court certified the class over the arguments of the defendant that the members of the putative class lacked Article III standing under the standard… Continue Reading
In Smith v. LexisNexis Screening Solutions, Inc., the Sixth Circuit reversed a $150,000 punitive award in a suit under the Fair Credit Reporting Act. The case arose when LexisNexis was conducting a criminal background check for a potential employee named David Smith. The check returned a fraud conviction for a different David Smith, but not … Continue Reading
With all due respect to noted astrophysicist Stephen Hawking, this blog post will attempt to explain the bank privacy universe in a tiny package. Many tend to think “bank privacy” began with the Gramm-Leach-Bliley Act (“GLB” and technically The Financial Services Modernization Act of 1999). But this perspective misstates the origin of bank privacy and … Continue Reading
The Consumer Financial Protection Bureau’s most recent supervisory highlights publication featured issues relating to the Fair Credit Reporting Act, loan originator compensation and in-person debt collection that should be on mortgage lenders’ and debt collectors’ radar. The Fair Credit Reporting Act requires furnishers that regularly and in the ordinary course of business furnish information to … Continue Reading
On August 19, the United States District Court for the District of Nevada dismissed a putative Fair Credit Reporting Act class action against two taxi companies that had allegedly violated the Fair and Accurate Credit Transactions Act by including the first digit and last four digits of consumers’ credit card numbers on fare receipts. The… Continue Reading
After a battle of motions between the parties, on August 9th a Wisconsin federal judge dismissed a proposed class action for alleged violations under the Fair Credit Reporting Act (FCRA) against Cory Groshek. Why is this important? Well, some of you may be familiar with Mr. Groshek as he is a noted (some may say serial) plaintiff who has filed multiple lawsuits […]Continue Reading...
Yesterday I attended an interesting webinar regarding Fair Credit Reporting Act (FCRA) developments. Susan Camp Stocks from the Consumer Financial Protection Bureau (CFPB) and Katherine Ripley White from the Federal Trade Commission (FTC) participated, along with my colleagues Bob Belair and Kevin Coy. The speakers covered a fair amount of ground on different FCRA issues, […]Continue Reading...
In an important victory for employers, the Supreme Court in Spokeo, Inc. v. Robins held that a plaintiff does not have Article III standing to sue in federal court under the Fair Credit Reporting Act (FCRA) and other federal statutes absent a sufficient allegation of the existence of a concrete injury. The Supreme Court was […] Continue Reading
Seyfarth Synopsis: The U.S. Supreme Court’s recent Spokeo decision may lead to more careful scrutiny of whether ADA Title III plaintiffs have a sufficiently “concrete” injury to confer jurisdiction in federal court.