On January 29, 2019, in Gilberg v. California Check Cashing Stores, LLC, the Ninth Circuit held that a prospective employer violates the Fair Credit Reporting Act (FCRA)—an act passed in 1970 that regulates the collection of credit information and the access to credit reports to ensure fairness, accuracy and privacy of the personal information contained in files of credit reporting agencies—by including information on a disclosure form unrelated to rights protected by the FCRA.
Desiree Gilberg applied for a job with California Check Cashing Stores, LLC (“CCC”). As part of her application, Ms. Gilberg signed a separate form entitled “Disclosure Regarding Background Investigation.” This form contained not only a disclosure as required by the FCRA (stating that the prospective employer could obtain a consumer report on her) but also additional disclosure requirements for seven other states. That is, the disclosure did not just include a summary of Ms. Gilberg’s rights under the FCRA, but also the rights of applicants who reside in several states based on additional, state-specific statutes. Ms. Gilberg worked for CCC for five months before voluntarily resigning and then bring a suit alleging that CCC failed to make a proper FCRA disclosure.