Background Checks and Employment Class Actions: FCRA Cases, Disclosure Forms, State and Federal Litigation
Recording of a 90-minute CLE webinar with Q&A
This CLE course will provide guidance to employment counsel regarding class action litigation brought under the Fair Credit Reporting Act (FCRA) as these cases are on the rise, particularly in California, after the U.S. Court of Appeals for the Ninth Circuit issued a 2017 decision applying a hypertechnical approach to the FCRA's disclosure requirements. The panel will provide best practices on utilizing background checks as part of the hiring process while avoiding lawsuits for noncompliance with disclosure or adverse action requirements. Plaintiffs' firms will also be advised on the potential statutory and actual damages, punitive damages, costs, and attorneys' fees that can be acquired from these types of cases.
Outline
- FCRA cases
- Walker v. Fred Meyer Inc.
- Luna v. Hansen & Adkins Transport Inc.
- Concise explanatory language
- Simultaneous disclosures
- Separate authorization form
- Disclosure requirements
- Standalone requirement
- Clear and conspicuous
- Adverse action
- Disclosure and pre-authorization.
- Pre-adverse action letter/copy of report/rights under FCRA
- Waiting period
- Adverse action letter
- Potential penalties for noncompliance
- State and federal litigation
- Petco
- DISH Network
- Starbucks
Benefits
The panel will review these and other key topics:
- What guidance on FCRA and employment law has been provided in the recent Ninth Circuit cases?
- What are the disclosure requirements for an FCRA background check?
- What types of adverse actions are considered under FCRA background checks and what are the steps an employer must take?
- What is the status of current FCRA cases in state and federal litigation?
Faculty

Pamela Q. Devata
Partner, Background Screening Compliance and Litigation Defense Team Leader
Seyfarth Shaw
Ms. Devata has extensive knowledge and experience on all things relating to the use of criminal, credit, and other... | Read More
Ms. Devata has extensive knowledge and experience on all things relating to the use of criminal, credit, and other background checks related to hiring. Both employers and background screening companies (consumer reporting agencies) look to Ms. Devata for guidance based on her deep knowledge and experience practicing in this area for nearly 20 years. She has a wide range of experience in this area of law. Ms. Devata has handled hundreds of class action lawsuits and numerous single-plaintiff cases. She has also discussed these topics to key stakeholders at thousands of speaking engagements. She even testified in October 2010 at the Public Meeting of the EEOC in Washington, DC, about the use of credit checks as a screening tool for job applicants. Ms. Devata is recognized nationwide for her vast knowledge on all things related to background checks. She counsels employers, marketplaces, staffing companies, property management companies, insurance companies, and background screening companies on the intricacies of the FCRA and laws affecting hiring and screening processes. She represents more than 200 background screening companies of all sizes.
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Cindy D. Hanson
Partner
Troutman Pepper
Ms. Hanson focuses her practice on complex commercial litigation and class action defense. She has handled hundreds of... | Read More
Ms. Hanson focuses her practice on complex commercial litigation and class action defense. She has handled hundreds of matters under the Fair Credit Reporting Act. Her practice includes the representation of both consumer reporting agencies and entities who furnish information to consumer reporting agencies.
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