Uber and Lyft Face FCRA Class Action Lawsuits

Gavel

Written By ESR News Blog Editor Thomas Ahearn

Two class action lawsuits filed against Uber Technologies Inc. and Lyft Inc. claim the ride sharing technology companies violated the Fair Credit Reporting Act (FCRA), the Investigative Consumer Reporting Agencies Act (ICRAA), and the Consumer Credit Reporting Agencies Act (CCRAA) by allegedly not providing clear background check disclosures to job applicants, according to a report on TopClassActions.com.

Top Class Actions reports that the plaintiff filing the two class action lawsuits – a former employer at Uber and Lyft in California – claimed both companies violated the FCRA requirement that background check disclosures be provided in a clear, stand-alone document. The class action lawsuits allege that both Lyft and Uber provided background check disclosures that were unclear and buried with other extraneous information.

According to FCRA class action lawsuits against Uber and Lyft: “Plaintiff alleges that Defendants routinely acquire consumer, investigative consumer and/or consumer credit reports to conduct background checks on Plaintiff and other prospective, current and former employees and use information from credit and background reports in connection with their hiring process without complying with the law.”

Top Class Actions reports that the two class action lawsuits “include claims of failure to make disclosure in violation of the FCRA, failure to give proper summary of rights in violation of FCRA, failure to make proper disclosure in violation of the ICRAA, and failure to make proper disclosures in violation of the CCRAA.” The plaintiff filed the class action lawsuits on behalf of himself and three consumer classes:

  • An FCRA Class that includes all job applicants who applied to work at Uber or Lyft in the United States within the last five years prior to the filing of these FCRA lawsuits.
  • An ICRAA Class that includes all job applicants who applied to work at Uber or Lyft in California within the last five years prior to the filing of these FCRA lawsuits.
  • An CCRAA Class that includes all job applicants who applied to work at Uber or Lyft in California in the last seven years prior to the filing these FCRA lawsuits.

The two FCRA class action lawsuits seek statutory penalties, civil penalties, punitive damages, costs of bringing these lawsuits to court, interest, and attorney’s fees. The two FCRA class action lawsuits are Nokchan v. Uber Technologies Inc., Case No. 4:15-cv-03009, and Nokchan v. Lyft Inc., Case No. 3:15-cv-03008. Both class action lawsuits are filed in the U.S. District Court for the Northern District of California.

A Note about Class Action Lawsuits

Employment Screening Resources (ESR) reminds readers that any allegations made in class action lawsuits are not proof that a business or Consumer Reporting Agency (CRA) violated any law, rule, or regulation. There have been only allegations in the pleading stage and no factual adjudications. The fact that a demand for a jury trial has been made in class action lawsuits does not mean there has been a finding of any liability or that any facts have been determined or any settlement entered into at the current time. For more ESR News Blogs about FCRA class action lawsuits, visit http://www.esrcheck.com/wordpress/tag/class-action-lawsuits/.

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