FCRA Litigation on Track to Reach New High
Fair Credit Reporting Act (FCRA) litigation increased by 8.7% year-over-year, with 4,163 claims filed through October 2019. This number brings FCRA lawsuits to its highest on record at the close of 2019. For an interview with SHRM, Matthew Simpson, partner in the firm’s Atlanta office, says that “FCRA cases are getting more publicity, and increased publicity is, in turn, generating more filings. Simultaneously, the spike in FCRA litigation can be attributed to the heightened consumer expectation of privacy.” However, employers can protect themselves against this litigation. Matthew says that the majority of litigation in the employment context arises around the form used to obtain authorization to conduct a background check. Employers need to pay attention to the disclosure forms where other state law disclosures, releases of liability or other documents are included, but shouldn’t be.
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