Finally, a voice of reason.
Employers got some good news from a judge in the Northern District of California last week, when the court granted Paramount Picture’s motion to dismiss a class action claim for alleged Fair Credit Reporting Act (FCRA) violations. The case was one of the many class actions that have been flooding the federal courts, disputing the validity of the disclosure form used for running a background check.
This wave of litigation has erupted over the past 12 months, putting employers on the defensive against FCRA claims seeking millions in statutory and punitive damages. The judge’s decision to dismiss the case against Paramount is a welcome development, and may be a turning point for employers facing FCRA class actions of this type. (more…)