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Former Employee Was Not Injured By Alleged Violation of FCRA


A former employee (of one month) of a Circle K establishment filed a class action lawsuit against his former employer, alleging violation of the Fair Credit Reporting Act (FCRA). His allegations rested on claims that the Circle K form used to seek a job applicant’s consent to conduct a background check violated FCRA’s “standalone disclosure” requirement because it contained “extraneous provisions” and that he was “confused regarding the nature of his rights under the FCRA.”

The FCRA requires employers seeking a background check to provide the applicant or employee with a “clear and conspicuous disclosure” that the prospective employer may obtain a consumer report for employment purposes.

The employer’s disclosure must be “in a document that consists solely of the disclosure.” And, according to the U.S. Supreme Court in Spokeo, Inc. v. Robins, an individual must suffer concrete injury to have standing to bring a claim forward.

In this case, the plaintiff first sued Circle K in federal court. After losing, he initiated the class action suit. The trial court dismissed the action based on the plaintiff’s inability to establish that he had suffered a concrete injury as a result of Circle K’s actions. The Court of Appeal affirmed on the ground that without suffering a sufficient concrete injury, he had no standing to sue Circle K.

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A successful FCRA claim must allege that these requirements, including concrete injury, were met. Hire Image understands the intricacies of the FCRA and can assist with your compliance efforts. Contact us today to learn more

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