Background Check Mix-Up Leads to FCRA Lawsuit Against Employer

A Florida woman is struggling after a mix-up in her employer's background screening process allegedly resulted in her losing her home, her vehicle, and her children. She shares the same name and date of birth as a violent offender in Pennsylvania. The employee says this case of mistaken identity had happened before with the same employer, a transportation network company; she previously had to submit fingerprints and contact Pennsylvania's authorities before she was allowed to continue working. The mix-up occurred again when her employer's new background screening company returned the same results, and the employer suspended her a second time. This time, the employee decided to sue both the company and the background screening firm for damages, alleging they willfully violated the Fair Credit Reporting Act (FCRA).

You can read more about this story from WFTV.

This instance of mistaken identity demonstrates why employers should carefully vet their background screening providers' reporting policies, specifically their matching criteria. Most background screening companies maintain a separate policy for reporting common names that is more stringent than their standard reporting policy. Employers should also follow proper adverse action procedures to ensure candidates and employees have a chance to dispute incorrect information before a denial letter is issued. Errors like this are avoidable, and HR teams can reduce their risk by partnering with a background screening provider that thoroughly verifies the information it reports.

Note: This case reflects FCRA guidance and background screening practices as they stood in 2019; requirements and best practices have continued to evolve since then.

Please feel free to reach out to CRC's Sales team at (877) 272-0266 if you have any questions or concerns about your current screening process.