Return of the California disclosure form

March 5, 2019

After State and Federal courts in 2006 ruled that the California Investigative Consumer Reporting Law, Civil Code §1786 et seq. was declared unconstitutional, CRA’s were free to ignore the requirements of that law.

However, towards the end of last year the California Supreme Court upheld the law in Conner v. First Student by un-complicating the apparent confusion between §1785 – Consumer Credit and §1786 – Investigative Reports, by holding that §1785 simply applies to credit reports, and §1786 applies to everything else.

The language of the consumer reports disclosure requiring a standalone disclosure before obtaining a consumer report is beyond the FCRA language and the FCRA disclaimer does not satisfy the California law.

As such, a separate California disclosure will now be needed for California employment.

If a credit report is needed for employment, an additional special California disclosure is needed for that purpose as well.

If you have any questions on California employment screening and how these revisions may affect you, contact our team of experts today.

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