Technicolor USA, Manpower US Hit with Class Action Over ‘Unauthorized’ Background Reports

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A proposed class action lawsuit recently removed to Tennessee federal court alleges Technicolor USA, Inc. and Manpower US, Inc. conducted background checks on current and prospective employees without following the strict guidelines set by the Fair Credit Reporting Act (FCRA).

The plaintiff alleges he was jointly employed by the defendants – a technology company and staffing agency, respectively – for six years before applying for full-time employment with Technicolor. According to the complaint, the defendants conducted a background check on the plaintiff and terminated him based on the results. The case argues that prior to obtaining the background report, the companies failed to provide the man with a disclosure form “in a document that consists solely of the disclosure” informing him that they intended to perform a background check.

The suit then attests that the plaintiff “was distracted by the presence of additional information” in the disclosure form and that because the document didn’t comply with the FCRA, the defendants never obtained the plaintiff’s proper authorization.

Furthermore, the lawsuit says the defendants unlawfully failed to provide the man with a copy of his background report and his rights under the FCRA before taking adverse action against him, thereby denying him an opportunity to respond to the information reported about him.