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Dish Network Settles FCRA Class Action Lawsuit for $1.75 Million

Many employers require potential employees to undergo a background check.  Background checks include information such as credit history, criminal history and employment history.  While intrusive, background checks provide employers with information they feel is necessary to make the right hiring decisions.  As part of this process, employers must provide notice, and obtain consent from a prospective employee prior to conducting a background check.  These requirements are governed by the Fair Credit Reporting Act (“FCRA”).

Allegations Against Dish Network

In this class action lawsuit, Plaintiff alleged on behalf of the putative class that Dish Network violated the FCRA in the following ways:

  • Reporting outdated consumer information that was more than seven years old;
  • Obtaining consumer reports without the valid authorization of prospective and current employees;
  • Failing to inform prospective employees how consumer reports would be obtained; and
  • Using information obtained in consumer reports to make hiring decisions without providing applicants with a copy of the report and an opportunity to correct any inaccurate information contained in the report.

The background check system used by Dish Network rated prospective employees, and current employees considered for promotions as: “high risk,” “low risk,” or “review”.  However, these ratings were developed through acquiring background information from prospective and current employees without obtaining their consent, or providing appropriate notice, as required under the FCRA.  In other words, the rating system of Dish Network was a clear violation of the law.

Dish Network Settles Lawsuit

Dish Network settled all claims associated with this class action lawsuit for $1.75 million.  This settlement leaves the one class of plaintiffs (contractor technicians) with approximately $480 each, with another class of individuals receiving approximately $80 each for the Defendants FCRA violations. 

Contact a Consumer Protection Attorney Today

If a prospective or current employer has conducted a background check without your written consent, or failed to notify you of your rights following the background check, it is crucial to act quickly to determine if your rights have been violated under the FCRA.  To learn more about what options may be available to you, contact The Kim Law Firm, LLC by calling 855-996-6342 to schedule an initial consultation with one of our Consumer Protection and FCRA Attorneys.