Hiring hourly workers, especially in high-volume sectors like retail, hospitality, healthcare, and construction, presents unique challenges. The demand for quick hiring can sometimes lead to shortcuts in the background...more
Traditional credit underwriting methods, which are generally based on credit reports, have not always successfully captured the full picture of a borrower’s ability to repay. It is estimated that more than 45 million US...more
A group of eleven Republican Senators who are members of the Senate Banking Committee have sent a letter to CFPB Director Rohit Chopra and Attorney General Merrick Garland to urge the CFPB and DOJ to retract the joint...more
On October 12, the CFPB and DOJ issued a joint statement that reminds financial institutions that all credit applicants are protected from discrimination on the basis of their national origin, race, and other characteristics...more
Last week, the U.S. Department of Justice (DOJ) and the Consumer Financial Protection Bureau (CFPB) (collectively, the agencies) issued a joint statement on the subject of creditors’ use of immigration status for eligibility...more
The recent Wall Street Journal piece about the use of online dating apps for employment networking explored what happens when people in the relationship marketplace leverage dating apps for career development. It makes sense...more
We have recently had inquiries about foreclosures. Given the current economic climate, this is probably going to become more common. The good news is that home prices are up, particularly in the Philadelphia suburbs. But for...more
A federal District Court judge in Nevada has dismissed a case filed by several trade associations against the Commissioner of the Financial Institutions Division (“FID”) of the Nevada Department of Business and Industry and...more
While preventing fraud has always been a key challenge for businesses in any industry, the task has been made even more difficult by the prevalence of online sales and the increasing sophistication of fraudsters. As states...more
In Luna v. Hansen and Adkins Auto Transport, Inc., the Ninth Circuit heard a “more novel” theory regarding FCRA’s standalone disclosure requirement, but affirmed the trial court’s grant of summary judgment in favor of the...more
We recently provided an update in a case we’ve been following involving a lawsuit challenging a Nevada statute, SB 311, that allows an applicant for credit with no credit history to request that a creditor treat an...more
Seyfarth Synopsis: On March 20, 2020, the Ninth Circuit Court of Appeals held the Fair Credit Reporting Act’s (“FCRA”) standalone disclosure requirement does not allow for the inclusion of any extraneous information in an...more
We have been closely following a lawsuit challenging a 2019 Nevada amendment that relates to the treatment of spousal credit history during the credit application process. ...more
Employers in Puerto Rico Precluded from Using Credit Reports or Credit History for Employment Actions - New Legislation Enacted - On October 8, 2019, the Governor of Puerto Rico signed into law Act No. 150 of October 8,...more
Seyfarth Synopsis: With limited exception, Puerto Rico has joined the growing list of states that preclude an employer or prospective employer from procuring an employee’s or applicant’s credit history and/or taking adverse...more
The three trade groups challenging an amendment to Nevada law that allows an applicant for credit with no credit history to request that the creditor deem the applicant’s credit history to be identical to that of the...more
Several trade groups, including the American Financial Services Association, Nevada Credit Union League, and Nevada Bankers Association have filed a lawsuit challenging a new Nevada law aimed at allowing credit applicants...more
On October 1, three trade groups filed a lawsuit in Nevada federal court challenging an amendment to Nevada law that allows an applicant for credit with no credit history to request that the creditor deem the applicant’s...more
Employers must provide applicants and employees with separate federal and state Fair Credit Reporting Act (FCRA) disclosure forms, said the 9th Circuit in an important decision released last week. Combining any state...more
I recognize this is a lengthier blog than I normally post, but it’s necessary so I can help employers help themselves. The Ninth Circuit Court of Appeals issued an important opinion that is relevant not only to employers...more
The Puerto Rico Department of the Treasury has announced changes to tax reporting for certain severance payments. As a result of the Labor Transformation and Flexibility Act (Act 4-2017), adopted in 2017, certain limited...more
Part II: Offer Letters and Background Checks - In a previous article, we addressed certain pitfalls for numerous foreign employers seeking to hire personnel in New York State (regarding advertising and interviewing for a...more
Seyfarth Synopsis: Over the past few years, restrictions regarding the use of credit checks by employers on applicants and employees have been passed at various state and municipal levels, and the federal government has...more
Seyfarth Synopsis: The People’s Republic of China is making progress in implementing its mandatory “social credit system.” Multinational businesses in China should be watchful of this system, and ready for it when it rolls...more
Applicant background reports can be vital tools for employers, especially in the hiring process. However, amendments to the Fair Credit Reporting Act (“FCRA”) significantly increase the rights of applicants and employees to...more