INDUSTRY NEWS
Sporting goods store accused of violating FCRA in new class-action lawsuit
The suit claims that Hibbett Sporting Goods, an Alabama-based sporting goods retailer, violated the Fair Credit Reporting Act (FCRA), for failing to comply with the Act’s pre-adverse action requirements.
According to LegalNewsline.com, the plaintiff in the case, a St. Louis man, claims that he was hired by the sporting goods store, but during his first day on the job he was called into the manager’s office and dismissed from the job after the company found a conviction for assault on his record after procuring a consumer report on him.
This practice runs afoul of the FCRA’s requirements that all subjects of background checks must be provided with a copy of their consumer report, be granted a reasonable notice period in which to challenge information on the report and be provided with a summary of their rights under the FCRA prior to a company taking adverse action against them.
The class action was filed on Dec. 2, 2015, in Cole County Circuit Court but was later removed to the U.S. District Court for the Western District on Jan. 4, 2016, since the case involves a federal law.
Source: LegalNewsline.com, 1/19/2016