Written By ESR News Blog Editor Thomas Ahearn
Fair Credit Reporting Act (FCRA) lawsuit filings by consumers continued their upward trend throughout 2021 with a 12.8 percent increase in December 2021 compared to November 2021, as well as a 3.5 percent increase for the full year of 2021 from 2020, according to a year-in-review report by WebRecon LLC.
WebRecon reported on the overall statistics for FCRA consumer litigation throughout 2021 and found that 459 FCRA cases were filed in December 2021 compared to 407 FCRA cases filed in November 2021, while 5,406 FCRA cases were filed in 2021 compared to 5,224 FCRA cases filed in 2020.
In addition, putative class action lawsuits represented 2.6 percent of the FCRA lawsuits filed in December 2021, as 12 FCRA class action lawsuits were filed out of a total of 459 FCRA lawsuits filed during the month. The WebRecon report is at https://webrecon.com/fcra-leads-the-way-webrecon-stats-for-dec-2021-year-in-review/.
The increase in FCRA consumer litigation filings emphasizes the need for companies that fall within the scope of the law – such as employers that use consumer reporting agencies (CRAs) to perform background checks on job applicants for employment purposes – to review and implement compliance measures.
Enacted in 1970, the FCRA promotes the accuracy, fairness, and privacy of consumer information contained in the files of CRAs and protects consumers from the willful and negligent inclusion of inaccurate information in their credit reports. The FCRA also regulates the collection, dissemination, and use of consumer information.
Employment Screening Resources (ESR) – a service offering of ClearStar, a leading provider of Human Capital Integrity℠ technology-based services, specializing in background, credit, and medical screening – offers background screening solutions that help employers comply with the FCRA. To learn more, contact ESR today.
NOTE: Employment Screening Resources (ESR) – a service offering of ClearStar – reminds readers that allegations made in class action lawsuits are not proof a business or individual violated any law, rule, or regulation since they are in the pleading stage with no factual adjudications yet.
NOTE: Employment Screening Resources (ESR) – a service offering of ClearStar – does not provide or offer legal services or legal advice of any kind or nature. Any information on this website is for educational purposes only.
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