Litigation Trends Under the Fair Credit Reporting Act

NYSBA Inside Spring/Summer 2015

Ian Gabriel Nanos and Maxine Adams, based in the firm’s New York office, authored an article in NYSBA Inside, titled “Litigation Trends Under the Fair Credit Reporting Act.”

Following is an excerpt:

Many employers perform routine background checks. After all, a background check can be a useful tool. It can be a matter of exercising sufficient due diligence, allowing the employer to discover potentially problematic issues in an employee’s or applicant’s past or to identify whether the employee or applicant provided the employer with potentially falsified information. In some industries, performing a background check can even be a matter of legal compliance.

The Fair Credit Reporting Act (“FCRA”) acknowledges the usefulness of background checks, but the statute – as well as the various mini-FCRA statutes that have been enacted in New York and other states – also establishes specific requirement and limitations on the use of background checks.