Employment Legal Updates
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Peopletrail actively tracks the regulatory and legal environment that surrounds employment and criminal background screening. This helps you remain compliant with the FCRA, EEOC, and other regulatory standards or agencies.  The following includes recaps of the most significant updates impacting the screening industry in recent weeks.



Effective January 1, 2018, California will become the tenth state to pass the “ban-the-box” law which removes the conviction history question on job applications for private employers with five or more employees. Read More.


In Spokane County, Washington, job applicants will no longer be asked to disclose criminal convictions from the past 10 years. In addition, the county will not conduct background checks until after determining a candidates qualifications. This new policy does not apply to departments that deal with public safety and it also does not apply to private-sector jobs. Read More.

New York

Effective Oct. 7, 2017, a law in New York State makes it possible for individuals convicted of certain criminal offenses to have up to two convictions sealed. Under certain circumstances, the New York Criminal Procedure Law allows an individual to file a motion to seal no more than two criminal convictions, one of which may be a felony. Read More.


The Arizona Governor signed an executive order instructing all state agencies to adopt new hiring practices that don’t discriminate against people who have been arrested or been in prison. Read More.


Bus Driver Fired for Refusing ‘Mark of the Devil’ in Background Check Can Sue Employer, 10/31/2017

FCRA Suits Increase 60% from August to September 

According to a litigation statistics report issued by WebRecon LLC, consumer lawsuits alleging a violation of the Fair Credit Reporting Act increased by nearly 60% in September from the prior month. Read More.


Richard Cordray is stepping down as head of Consumer Financial Protection Bureau, 11/15/2017

Feds Clarify: Medical Marijuana Isn’t An Excuse In Drug Testing, 11/10/2017

Simple Compliance with a Complex Law, 11/14/2017


Avis Settles FCRA Background Check Lawsuit for $2.7 Million

In Angela Fuller v. Avis Budget Car Rental LLC, the car rental company Avis will resolve its $2.7 million class action settlement to resolve Fair Credit Reporting Act claims related to its background screening practices. Read More

Uber Hit With $8.9 Million Colorado Fine Over Background Check Oversight

The Colorado Public Utilities Commission said an investigation found multiple violations of state laws for ride-hailing drivers. It found 12 Uber drivers with felony convictions, 17 drivers with major moving-vehicle violations, and three with restricted licenses due to drunk-driving convictions. Colorado will fine Uber $2,500 a day for each day an unqualified driver was working. Read More.

FINRA Slams J.P. Morgan Securities Over Background Check Failures

The Financial Industry Regulatory Authority fined J.P. Morgan Securities $1.25 million for failing to conduct “timely or adequate background checks” on approximately 8,600, or 95%, of its non-registered associated persons. This prevented the brokerage firm from determining whether those persons could have been deemed unsuitable to work at the firm. Read More.

Drug Testing

DOT Changing Drug Testing to Address Opioid Abuse Epidemic

The Department of Transportation plans to add four prescription opioids—hydrocodone, hydromorphone, oxymorphone, and oxycodone—to the existing DOT drug-testing panel for screening truck drivers and other “safety-sensitive” transportation workers. The change is part of a final rule to take effect on Jan. 1, 2018. Read More.

Employers Should Consider a Prescription Drug Use Policy to Avoid Lawsuits, 11/27/2017

Mercy to pay $1.5M for overbilling for drug screening tests, 11/1/2017

Background Checks

No, You Really Cannot Ask That and Other Implications of New Laws Impacting Employers, 10/30/2017

Maryland boots nearly 15 percent of new ride-hail drivers for failing screening, 10/28/2017

Day care providers blast fingerprint requirement, 11/1/2017

Texas Gunman Should Not Have Passed Background Check To Buy Weapon Used In Church Slaughter, 11/6/2017

How to Comply with I-9 Requirements for Remote Workers, 11/8/2017

Candidates lie the most about job history in CVs, and BFSI has the highest strike rate, 11/15/2017