Inaccurate information on a background check report can have severe consequences. Whether it affects your job search, credit rating, or reputation, being wronged by a background check company can be frustrating. Fortunately, the law offers recourse for individuals who face these types of challenges.
If you’re dealing with misleading or inaccurate background check data, you may be wondering what steps to take and how to hold these companies accountable. Let’s take a look at what legal actions you can pursue if a background check company misrepresents your information.
Understanding Background Check Reports and Common Errors
Background check companies collect and provide information about individuals for various purposes, including employment and housing applications. These reports often include criminal history and employment records, among other details. While background checks are meant to provide accurate, reliable information, mistakes do happen. Common errors include:
- Incorrect Criminal Records: Sometimes, a background check might incorrectly list an individual’s criminal history or mix up records between people with similar names.
- Mistaken Identity: A background check may incorrectly link you to someone else’s criminal history, potentially harming your reputation.
- Inaccurate Employment or Education History: Background checks often rely on databases or reports that may contain outdated or incorrect employment or education information.
These errors can have real-world effects on your life, including missed job opportunities or denied rental applications. If you find yourself in this situation, the law allows you to take steps to fix these mistakes.
The Fair Credit Reporting Act (FCRA) and Your Rights
The Fair Credit Reporting Act (FCRA) is a federal law that regulates the collection and dissemination of consumer information. The FCRA provides protections for individuals whose information is collected by background check companies, including the right to dispute inaccurate or incomplete reports.
Here are some key protections under the FCRA:
- Accuracy of Information: The law requires background check companies to follow reasonable procedures to ensure accurate and up-to-date information in reports.
- Consumer Dispute Rights: If you find an error in your report, you have the right to dispute the information with the background check company.
If a background check company violates these rights, and you suffer harm as a result, you may be entitled to sue the company for damages. This can include financial compensation for lost opportunities, emotional distress, or even punitive damages in some cases.
Steps to Take When You Discover a Misleading Report
If you believe a background check report contains misleading or inaccurate information, follow these steps to address the situation:
Review the Report Thoroughly
The first step is to obtain a copy of your background check report. Review it carefully for any inaccuracies or outdated information. If the report includes incorrect details, such as criminal records or employment history, make note of the specific errors.
File a Dispute with the Background Check Company
Once you identify errors, you can file a dispute with the background check company. The FCRA generally requires them to investigate any disputed information within 30 days. When disputing, be sure to provide clear documentation or evidence that supports your claim.
Contact the Entity That Ordered the Background Check
If the background check was used for a specific purpose—like a job application—contact the employer or organization that requested the report. Let them know about the inaccuracies in the report, and share the evidence you’ve gathered.
Seek Legal Assistance
If the company refuses to correct the errors, or if the inaccurate information continues to impact your life, it may be time to seek legal assistance. A background check attorney can help you take legal action against the company and guide you through the process of filing a lawsuit.
Legal Recourse: How To Sue a Background Check Company
If the background check company fails to correct the inaccuracies or continues to provide misleading information despite your efforts, you can file a lawsuit. Under the FCRA, you may sue for damages if a company has violated your rights.
Here are the steps involved in suing a background check company:
Seek Legal Guidance for Background Check Issues
An attorney with experience in background check disputes can guide you through your legal options. They can review your case, advise you on the best course of action, and help you gather the necessary evidence.
File a Complaint with the Consumer Financial Protection Bureau (CFPB)
Before proceeding with a lawsuit, it’s often recommended to file a complaint with the Consumer Financial Protection Bureau (CFPB). The CFPB can help resolve disputes between consumers and background check companies and may prompt the company to correct the report.
Consider Civil Court
If the company refuses to fix the errors, you may choose to file a lawsuit. Depending on the severity of the issue, you may pursue a case in civil court. A lawyer can help you determine the best approach based on the circumstances.
Collect Damages
If you successfully win your case, you may be entitled to various types of damages. This can include:
- Compensatory Damages: Compensation for financial loss, such as lost job opportunities or rental applications that were denied.
- Emotional Distress: Compensation for the emotional harm caused by the error.
- Punitive Damages: In some cases, if the company acted in bad faith, punitive damages may be awarded.
Common Defenses Used by Background Check Companies
While you have the right to challenge misleading background check reports, companies may present several defenses to avoid liability:
- No Willful Violation: A company might argue that the error was unintentional and that they acted in good faith.
- Accuracy of Information: The company may claim that the information they reported was accurate according to the data they had available at the time.
While these defenses may be used, they do not necessarily prevent you from taking legal action. With the help of a background check lawyer, you may be able to counter these arguments and pursue your claim effectively.
Get Legal Guidance from Sherman & Ticchio PLLC for Background Check Errors
If a background check company has provided misleading information about you, it’s important to take action. You have the right to challenge any inaccuracies and explore legal action if they are not corrected. By working with background check lawyers, you can navigate the legal process and protect your rights.
If you’ve been affected by inaccurate background check reports, Sherman & Ticchio PLLC is here to help. As experienced background check lawyers in New York City and Rockland County, we are dedicated to fighting for your rights. Whether you’re dealing with errors in your credit or criminal history, we provide clear, supportive legal guidance.
Our experienced team, proud members of the National Association of Consumer Advocates, will work with you to navigate the process and seek justice. Contact us today to schedule a free consultation. We’ll review your case, explain your options, and support you every step of the way. Let us help you get the resolution you deserve.