INDUSTRY NEWS

Big Lots the latest retail chain to be hit with FCRA class action

Following the likes of retailers such as Sears and Home Depot, Big Lots is accused of violating the Fair Credit Reporting Act for its failure to provide "standalone" disclosures prior to obtaining third-party consumer reports on applicants.

According to Law360, the lead plaintiff in the case alleges that Big Lots failed to supply her with an FCRA-compliant disclosure and authorization form prior to conducting a background check on her when she applied for a position as an overnight stocker in March of 2014. The plaintiff claims she was eventually provided with a compliant version of the form, but that it was after Big Lots had already procured a consumer report on her from a third party, according to the complaint.

The complaint adds that the Columbus, Ohio-based retailer “routinely and systematically” violated the FCRA by “failing to provide required disclosures or to obtain written authorization prior to procuring background reports on applicants and employees.”

Furthermore, the plaintiff claims that her privacy was “invaded by the defendant’s procurement of a consumer report on her without her written authorization.”

Source: Law360.com, 7/27/2015

Posted: July 31, 2015