Blogs

INDUSTRY NEWS

Court Deliberates Sufficiency of Standing to Bring Suit

The Eastern District of Missouri relied on Spokeo, Inc. v. Robins as well as the Third, Seventh and Ninth Circuits in determining whether a plaintiff demonstrated sufficient standing for alleged Fair Credit Reporting Act (FCRA) procedural violations.

In a recent case, Hood v. Action Logistix, LLC, Defendant, Action Logistix, conducted a background check on Hood after extending a tentative offer of employment. Upon receiving the results from that check, Hood was informed that he was no longer eligible for employment per the returned background check report. Under § 1681b(b)(3)(A) of the FCRA, anyone securing a consumer report for employment purposes is required to provide both an FCRA Summary of Rights and a copy of the report to the consumer prior to taking adverse action.

Hood claimed that he was not supplied an FCRA Summary of Rights and was also not permitted to review the report in order to address its contents before the employment offer was rescinded. Hood also did not suggest that the contents of the report were inaccurate or that his review would have resulted in a different outcome.

Action Logistix moved to dismiss, claiming that the court lacked subject matter jurisdiction since the plaintiff had not suffered concrete injury. Taking into consideration Spokeo, Inc. v. Robins, as well as the Third, Seventh and Ninth Circuits, the court ultimately determined that Hood had standing to bring suit for this procedural violation of the FCRA.

Employers are encouraged to monitor the landscape regarding the FCRA, procedural violations, and previous court decisions used by other jurisdictions when rendering determinations.

Posted: April 14, 2021


All Rights Reserved © 2021 Truescreen, Inc.
This document and/or presentation is provided as a service to our customers. Its contents are designed solely for informational purposes, and should not be inferred or understood as legal advice or binding case law, nor shared with any third parties. Persons in need of legal assistance should seek the advice of competent legal counsel. Although care has been taken in preparation of these materials, we cannot guarantee the accuracy, currency or completeness of the information contained within it. Anyone using this information does so at his or her own risk.

Sending...
Thank you for your interest in Business Information Group. We have received your message and will contact you in one business day or less.
Something went wrong.Try again
You have exceeded the number of attempts to submit this form. As a result, your IP address has been temporarily blocked.
Something went wrong.Try again

Get In Touch

Send a Message *fields required

What are your Interests?optional

Even our RFP PROCESS is state-of-the-art.

Find out why
RFP Kit

What Our Clients Are Saying

The service you provide at Truescreen has been the best I have ever seen in comparison to other vendors I have worked with in the past! You guys rock!

Talent Acquisition Specialist
Retail Store Chain

I am very impressed with your company’s customer service, and the Truescreen portal seems to be an intuitive, user-friendly design.

Learning Coordinator
Public College

Our team loves working with Truescreen and the expedient, thorough service and results we get from you.

Human Resources Executive
Large Hotel Chain

I appreciate all your hard work ensuring that individuals are cleared through our processes. Truescreen makes my job so much easier and less stressful.

Human Resources Analyst
Large Academic Institution

You are leaving Truescreen.com

Ok, Continue Cancel

×
×