Class Action Lawsuits

There is a class action lawsuit against Domino’s Pizza claiming that they violated federal law by conducting background checks on job applicants.  This case has been upheld by Maryland’s federal court after the pizza company tried to get it dismissed.

The case states that Domino’s did not comply with the legal requirements of the federal Fair Credit Reporting Act (FCRA) by (1) running background checks on employees without proper authorization, and (2) “systematically” failing to provide employees with copies of their background checks prior to taking adverse employment action against them.

Claims have been made that checks were performed on individuals before they started working, and they were subsequently dismissed based on undisclosed information discovered during their background checks.  This information was never shared with them by Domino’s.  Also they were not provided a copy of the report or advised of any rights before the termination. Additionally  they were required to sign a consent form that contained extraneous information and was not separate from the application packet.

The law states that employers must provide certain information to consumers before taking any adverse action against them – including not hiring them or terminating them – if the background check is completed after hiring. A a copy of the background check report as well as a statement of their rights prepared by the Federal Trade Commission (FTC), which enforces the FCRA should be given at that time. Consumers are thus protected against inaccurate or incomplete background checks and are given the opportunity to set the record straight.

Up to $1,000 damages per person can be awarded in this case.

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This entry was posted on Tuesday, February 7th, 2012 at 8:38 pm and is filed under Domino's Background Check. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.