Class Action Lawsuit Claims National Restaurant Chain Violated FCRA

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Written By ESR News Blog Editor Thomas Ahearn

A class action lawsuit filed in California federal court claims Chipotle Mexican Grill Inc. violated the federal Fair Credit Reporting Act (FCRA) by having job applications where consent for applicant background checks was “hidden” in the document, according to a report from Top Class Actions.

Top Class Actions reports the plaintiff, Lorena Mejia, applied at Chipotle and claimed the application contained a disclosure allowing the company to conduct background check reports on applicants that was surrounded by other language pertaining to additional information requiring her consent.

Under the FCRA, the disclosure of this report must be made in a separate “stand alone” document used for the sole purpose of disclosure and not “encumbered by any other information … in order to prevent consumers from being distracted by other information side-by-side with the disclosure.”

The class action lawsuit also claims that Mejia did not receive the document “A Summary of Your Rights Under the Fair Credit Reporting Act” that the FCRA requires employers to give to job applicants to explain their rights under the federal law that governs background checks.

Top Class Actions reports the class action lawsuit claims Chipotle allegedly violated privacy and statutory rights of the FCRA, the Investigative Consumer Reporting Agencies Act (ICRAA), the Consumer Credit Reporting Agencies Act, and the California Business & Professions Code.

The class action lawsuit claims Chipotle allegedly violated the ICRAA by failing to provide a written form with a box to check so applicants could receive a copy of their background check reports and also allegedly failed to send a copy of the report within three business days receiving the report.

The class action lawsuit is Mejia v. Chipotle Mexican Grill Inc., et al., Case No. 5:15-cv-01911, U.S. District Court for the Central District of California. The report is at http://topclassactions.com/lawsuit-settlements/lawsuit-news/165960-chipotle-faces-potential-class-action-suit-alleged-fcra-violations/.

Is Your Company in Danger of Facing a FCRA Class Action Lawsuit?

An FCRA class action lawsuit can damage the reputation and bottom line of any company. Employment Screening Resources® – “The Background Check Authority®” – helps businesses comply with the FCRA. Visit the ESR FCRA resource page at http://www.esrcheck.com/FCRA/.

Employment Screening Resources (ESR) reminds readers that allegations made in FCRA class action lawsuits are not proof that a business violated any law, rule, or regulation. For more blogs about FCRA class action lawsuits, please visit http://www.esrcheck.com/wordpress/tag/class-action-lawsuits/.

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