Background Checks and the FCRA: How Employers Can Mitigate One Risk Without Creating Another
Philadelphia partner Michael P. Daly and New York associate Richard M. Haggerty authored “Background Checks and the FCRA: How Employers Can Mitigate One Risk Without Creating Another” for The Review of Securities & Commodities Regulation.
It is common practice today for employers to conduct background checks on potential employees, particularly when employees may have access to sensitive information. With these background checks comes potential risk for the employers, though many may be unaware of their potentially liability under the Fair Credit Reporting Act (FCRA).
In this article, Mike and Rick provide a detailed look at the statute, including the possibility of considerable statutory damages, and how the plaintiffs’ bar has used the FCRA to bring a spate of class actions. They also consider what steps employers can take to minimize their litigation risk, as well as how to defend class actions under this statute.
The material contained in this communication is informational, general in nature and does not constitute legal advice. The material contained in this communication should not be relied upon or used without consulting a lawyer to consider your specific circumstances. This communication was published on the date specified and may not include any changes in the topics, laws, rules or regulations covered. Receipt of this communication does not establish an attorney-client relationship. In some jurisdictions, this communication may be considered attorney advertising.
Meet the Authors
