In a proposed class action similar to one recently filed against Verizon, a Pennsylvania man claims defendants ADT LLC and ADT Security Services violated the Fair Credit Reporting Act (FCRA) by allegedly knowingly and willfully obtaining consumer credit reports without first receiving written permission to do so. The defendants’ allegedly unauthorized credit inquires have caused consumers significant harm, the 19-page lawsuit claims, such as decreased credit scores and the disclosure of confidential personal information.
The complaint details an even more egregious claim that ADT allegedly obtains consumer credit reports under false pretenses, namely by assuring customer that it will only conduct a “soft” credit inquiry. Instead, ADT conducts a “hard” credit inquiry on consumers, which can result on significant harm, according to the suit.
The icing on the cake, the case continues, stems from the allegation that ADT further violates the FCRA by taking adverse action on consumers—such as demanding a deposit before providing services—without first making proper disclosures, providing consumers with a copy of the credit report in question, or illuminating consumers to the details of its in-house credit model.