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Uber and its background check provider to pay $7.5M to settle suit

Ride-sharing company Uber and its background check provider Hirease LLC will pay the amount to dismiss claims that the companies’ background check practices violated federal and state laws.

Plaintiffs in the suit claimed that Uber and Hirease failed to provide proper notice or obtain proper authorization before conducting background checks on applicants and employees. Furthermore, the complaint alleged that the companies neglected to provide the required notifications prior to taking adverse action against applicants and employees based on the results of their background checks.

According to Law360.com, the settlement class would include everyone subjected to a background check or consumer report requested by Uber before Jan. 3, 2015.

The suit is In re Uber FCRA Litigation, case number 3:14-cv-05200, in the U.S. District Court for the Northern District of California.

Source: Law360.com, 5/30/2017

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