On March 5, a judge in the United States District Court for the Southern District of New York rejected a plaintiff’s proposal to notify proposed class members of a Fair Labor Standards Act lawsuit filed by a group of former interns against Gawker via various social media platforms, including Reddit and Tumblr pages, LinkedIn, and
Background Screening
Fourth Circuit Affirms Summary Judgment Against EEOC After Excluding Expert Report With “Mind Boggling” Number Of Errors
Use of criminal background checks requires compliance with the technical requirements of the Fair Credit Reporting Act and has spawned a large number of class actions and individual claims under the FCRA. However, use of background checks has also been under siege by the states and localities that have been enacting “ban the box” requirements…
Class Action FCRA Lawsuit Challenging Defendant’s Employment Background Screening Disclosure Form Settles for $6.8 Million
In a class action settlement that was recently granted final approval, Publix Super Markets Inc. agreed to pay nearly $6.8 million in a class action lawsuit settlement over background checks under the Fair Credit Reporting Act.
Plaintiff, Erin Knights, applied for a job with Publix in early 2013 through an electronic kiosk. The lawsuit alleges…
Uber Attempts to Stamp Out FCRA Background Check Class Action by Compelling Arbitration
On February 6, Uber filed a motion to compel individual arbitration of a class action lawsuit under the Fair Credit Reporting Act related to its alleged background check practices. If Uber is successful in compelling arbitration, it will provide another example of the value of arbitration agreements in the face of litigation.
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Retailer Hit With Second FCRA Class Action Pertaining to Background Checks
On January 28, Michael’s Stores, Inc. was hit with its second Fair Credit Reporting Act (FCRA) class action lawsuit challenging Michael’s employment background check procedures in as many months. This lawsuit should serve as another reminder to employers to verify their background check procedures comply with both state and federal law.
According to the allegations…
CFPB Issues Bulletin Advising Entities Undergoing Regulatory Exams Not To Share Information With Third Parties Or Withhold Information From the CFPB
On January 28, 2015, the Consumer Financial Protection Bureau issued a bulletin warning financial institutions about entering into agreements with third parties that share or hide information related to regulatory exams, as well as warning entities under investigation about sharing information with third parties.
The bulletin is intended to assist supervised entities in complying with…
Coalition Urges New York City to Ban Use of Credit Checks in Hiring
On January 15, the NYC Coalition to Stop Credit Checks in Employment published an open letter to New York City Mayor de Blasio and the City Council, urging them to support legislation banning the use of credit checks in employment decisions. To the extent New York City enacts such a law, it would create…
FCC Creates Portal for TCPA Complaints and Beyond
Posted in All Entries, Auto Finance, Background Screening, Consumer Financial Protection Bureau (CFPB), Credit Reporting + Data Brokers, Debt Buyers + Collectors, Featured Posts, Federal Trade Commission (FTC), Mortgage Lending, Servicing + Banking, Payment Processing + Cards, Regulatory Enforcement + Compliance, TCPA
On January 5, the Federal Communications Commission announced that it was creating a new complaint portal. As shown on the FCC form for complaints, which can be found here (Word format) and here (.pdf), this portal is very much designed to capture complaints arising from the Telephone Consumer Protection Act (TCPA) and, specifically, automatic telephone…
GAO Releases Annual Report on Dodd-Frank Regulations
Last month, the Government Accountability Office (GAO) released its annual report on financial services regulations entitled “Dodd-Frank Regulations: Regulators’ Analytical and Coordination Efforts.”
According to this report, federal financial regulators— Consumer Financial Protection Bureau, Board of Governors of the Federal Reserve System, Federal Deposit Insurance Corporation, Office of the Comptroller of the Currency, National Credit…
Court Dismisses FCRA Claim Regarding Employment Background Screening Notices and Provides Commentary on Structure and Requirements of FCRA Provision
In recommending that the district court grant the defendant’s motion to dismiss, a magistrate judge in the United States District Court for the Northern District of Georgia recently addressed the contours of 15 U.S.C. § 1681k(a) of the Fair Credit Reporting Act in a way that affirms the disjunctive nature of that statutory provision, and…