There are over 400 employers in 2017 that have been sued for Informational Violations of the Fair Credit Reporting Act (FCRA). Cases like Syed v. MI LLC; Spokeo, Inc. v. Robins; and Saltzberg v. Home Depot have caused considerable damage to the corporate brand and substantial financial drain when defending these lawsuits. There have also been numerous out of court settlements where employers have paid out substantial sums of money to predatory plaintiffs rather than face the possibility of class action suits and the negative publicity.
Just the claim by a Consumer (job applicant) that they received a post-adverse action letter before a pre-adverse action letter can lead to a costly filing. In the Spokeo case, Robins argued that Spokeo Inc, a “people search engine,” had shown inaccurate information about him in their search results. A simple search query triggered an expensive, FCRA suit, costing Spokeo millions and leaving in question the Constitutional difference between concrete and informational harm in employment decisions (Article III, U.S. Constitution).`
Pre-Verify offers a real solution to prevent lawsuits based on FCRA claims. Employers who conduct their own background screening are by definition exempted from the FCRA, saving your business from FCRA filings.
FCRA Class-Action Lawsuits Will Continue
Roy Maurer from the Society for Human Resource Management writes about the threat that is occurring all over the country from Job Seekers suing employers for minor infractions in the Fair Credit Reporting Act (FCRA).There are serial plaintiffs who are preying on employers with the thought that they will cave in and pay them money just to go away...
Starbucks Faces Lawsuit for Alleged FCRA Violations
A class action complaint filed in a federal court in Georgia against Starbucks Corporation claims the coffeehouse chain allegedly violated required provisions of the Fair Credit Reporting Act (FCRA) by not giving job applicants the chance to correct inaccurate information on their background check reports...
FCRA Class Action Lawsuits Will Continue to Target Employers Performing Background Checks in 2018
In November of 2017, ESR News reported that Avis agreed to pay $2.7 million to settle a class-action lawsuit that claimed the car rental company allegedly violated the FCRA when conducting background checks on job applicants for employment purposes...
With Pre-Verify, you don't have to wait for an outside company to deliver your reports
Avoid costly FCRA litigation. As an end-user, you cannot be sued under the FCRA
Don't pay someone else! Pre-verify makes it easy to do the work yourself