Lawsuit Highlights Importance of Proper Background Screening

Jul. 13, 2017 / PRZen / SACRAMENTO, Calif. -- A former employee is suing the popular restaurant chain Five Guys Burgers and Fries, alleging that the company conducted background checks on potential, current and former employees without providing clear disclosure as required under Fair Credit Reporting Act (FCRA) and state of California law. This lawsuit follows the February filing of similar legal action in Florida against the United Parcel Service, and suggests that companies are facing increasing scrutiny—and potential liability—over how they utilize background screening in their hiring decisions. Plaintiffs in both lawsuits are seeking class action status and coverage of all former, current and prospective employees over the past five years. The burger chain lawsuit—Jeremy R. Lusk v. Five Guys Enterprises LLC—seeks unpaid wages, actual and liquidated damages, restitution, declaratory relief, pre-judgement interest, statutory and civil penalties, as well as fees and costs. This lawsuit also charged the company with a number of wage and hour violations. The UPS lawsuit—John Riley et al. v. United Parcel Service of America Inc.—seeks statutory damages of up to $1,000 for each violation, as well as punitive damages and attorneys' fees and costs. FULL RELEASE

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