In this class action claim, Plaintiffs alleged that Tempur-Sealy provided disclosure forms to prospective employees that were not in compliance with applicable federal and state statutes. Specifically, Plaintiffs claim that the supplied disclosure was not "clear and conspicuous" nor was it provided as a stand-alone document consisting "solely of the disclosure." Plaintiffs further contend that Tempur-Sealy's preauthorization was "embedded in a host of other unrelated authorizations, disclosures and disclaimers."
The class action complaint is comprised of four claims that Tempur-Sealy violated the:
- Fair Credit Reporting Act (FCRA) by procuring (or causing to be procured) consumer reports for employment purposes without providing a clear and conspicuous disclosure in a document consisting only of the disclosure
- California Investigative Consumer Reporting Agencies Act (ICRAA) by failing to supply both the Plaintiff and Class members with a clear and conspicuous disclosure prior to procuring (or causing procurement of) a report in a document consisting solely of the disclosure
- California Consumer Credit Reporting Agencies Act (CCRAA) by failing to supply written notice referencing a specific basis for the report and for not including a check box allowing the Plaintiff and Class members to opt to receive a copy of their consumer credit report
- "Unfair" aspect of California's Unfair Competition Law (UCL) in that Tempur-Sealy ascertained an unfair business advantage in failing to adhere to the FCRA, ICRAA and CCRAA
The Class members are seeking statutory damages and recovery of attorneys' fees.
Employers are encouraged to periodically review application packets to ensure that disclosure and consent authorization forms comply with the terms of both the FCRA and any other applicable jurisdictional statutes.
Posted: February 7, 2022