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When it rains, it pours: more class actions on criminal background disclosures

December 5, 2014 Leave a comment

Class action lawyers tend to copy one another.  If one lawyer thinks up a great class action suit, alleging that Company A violated Law X, then before long lots of other lawyers will sue Companies B, C, D, and E, all likewise alleging that they too violated Law X.

That appears to be happening right now in the FCRA ecosystem.

First, this blog noted some two years ago that Domino’s apparently violated  15 U.S.C. Sec. 1681b(b)(2)(A)(i), which states that before an employer conducts a background check, the would-be employee must be given a disclosure form which notifies them “in a document that consists solely of the disclosure,” that the employer may or will be running a background check.  Domino’s apparently included a release of liability in its disclosure form, which meant that the form did not “consist solely of the disclosure.”

Now, lawyers are suing lots of other companies, alleging that all of them did what Domino’s allegedly did:  namely, put a release of liability in their criminal background disclosure form.  Whole Foods was apparently sued by someone in California in March 2014, and again by someone else in Florida last week.

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