Cannabis Company Reaches Class Action Settlement

Trulieve, a leading medical cannabis company in Florida, settled with a class of employees and applicants who alleged that the company had violated the Fair Credit Reporting Act (FCRA).

Trulieve was accused of soliciting consumer reports without securing consent from the proposed class, a violation of the FCRA. Logan Lyttle, class representative, further claimed that these reports were utilized in making employment decisions. Background check reports were supplied to Trulieve by Personal Security Concepts, LLC (PSC); however, all claims against PSC were voluntarily dismissed from the suit in June 2020.

According to a mediation report filed on September 7, 2021, Lyttle and the certified class settled the dispute. The court is expected to approve the settlement in the next 60 days. The settlement is based on the claim that the employer failed to provide adverse action notices to the class.

Employers are encouraged to review practices both internally and those utilized by third party vendors as it relates to securing consent in the background screening process.

Posted: September 21, 2021

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