Starbucks to settle alleged FCRA background check violations

Two pending class action lawsuits accusing Seattle-based coffee chain Starbucks of violating the Fair Credit Reporting Act by using flawed background reports to reject job applicants are being combined in the U.S. District Court for the Northern District of Georgia in preparation for a settlement, according to Yahoo.

According to pleadings in the first action, which was filed in December 2016 in the U.S. District Court for the Western District of Washington, the putative class numbers an estimated 8,000 similarly situated job candidates who were the subject of adverse background reports supplied by Accurate Background, the company accused of providing the inaccurate reports.

The lead plaintiff in that case, Jonathan Rosario, said he applied for a position as a barista in Castle Rock, Colorado, in early 2016 but was turned down when his background check came back showing that he had multiple felony and misdemeanor charges and convictions on his record.

According to his filings, Rosario was finally able to convince Accurate Background that he was the victim of identity theft and that the crimes he was fingered for were actually committed by his adoptive brother.

Despite having a corrected report sent to Starbucks, Rosario “was not able to resuscitate the job opportunity that he had already lost due to the adjudication and Starbucks never ‘reversed’ its adverse action,” said the complaint.

You May Also Like

Check out these additional posts from Mind Your Business.

Business Myth Busters: Should you re-screen current employees?

One and done! For many companies the initial on-boarding background check conducted during the hiring process is the only screening their employees receive. A comprehensive background check is a wise investment before hiring new employees, but should you re-screen your employees later in their career, too? Discover the truth behind re-screening services. Myth: The initial…
Read More
COVID-19 Screening

Protect Your Business and Employees with COVID-19 Screening

With COVID-19 dominating the headlines, safely managing a business is a priority for essential businesses and businesses looking to operate in the future. In response to the need for effective and efficient COVID-19 screening, MYB, Inc. now offers symptom screening services to protect businesses and employees. With over 24 years of experience, MYB, Inc. is…
Read More

Business Myth Busters: No Such Thing as an Instant Background Check

In today’s instant gratification economy, it’s easy to see the allure of the “instant” background check. However, good things come to those who wait. An instant background check could do more harm than good by putting your business, employees, and customers at risk. Myth: An instant background check provides the information to make a good…
Read More

Quality and Precise Results, On Time!

Let us know about your screening needs to get a custom quote. We work with businesses big and small as well as the government. Which means we have a package of solutions for your organization as well.