Legal Compliance

All services from Employers Choice Screening are compliant with state and federal regulations.

Please note that in addition to Federal laws and regulations, individual States may have separate and/or supplementary laws and regulations that also govern employment background screening.

To ensure Employer compliance with applicable federal and state laws, your Credit Reporting Agency (CRA) has a duty to inform its clients about the Fair Credit Reporting Act (FCRA), the Federal Trade Commission (the governing federal agency that enforces the FCRA) and all relevant state laws.

 

Legal Resources

American with Disabilities Act (ADA)
The purpose of the American with Disabilities act is to provide a clear and comprehensive national mandate for the elimination of discrimination against individuals with disabilities.

It also provides a clear, strong, consistent, enforceable standards addressing discrimination against individuals with disabilities. Also, it ensures that the Federal Government plays a central role in enforcing the standards established in this chapter on behalf of individuals with disabilities.

Finally, to invoke the sweep of congressional authority, including the power to enforce the fourteenth amendment and to regulate commerce, in order to address the major areas of discrimination faced day-to-day by people with disabilities.

CA Civil Code Section 1.6 and 1.6A
15 U.S.C. 1681 and The Consumer Credit Reporting Reform Act of 1996

Upon notification of the results of a consumer credit reporting agency’s reinvestigation pursuant to Section 1785.16, an consumer may make a written demand on any person furnishing information to the consumer credit reporting agency to correct any information which the consumer believes to be inaccurate.

Drivers Privacy Protection Act
This Act generally prohibits states from disclosing personal information that their drivers submit in order to obtain drivers licenses.

“Personal information” under the Act includes an individual’s social security number, photograph, name, driver identification number, telephone number, address (but not 5-digit zip code), and medical or disability information. Information on driving violation, vehicular accidents, and driver’s status is not “personal information.” Such information is considered “Public Record”

EEOC Guidance on Pre-Employment Inquiries
This document provides the EEOC’s position under the Americans with Disabilities Act of 1990, on pre-employment disability-related questions and medical examinations.

Fair Credit Reporting Act (FCRA)
15 U.S.C. 1681 and The Consumer Credit Reporting Reform Act of 1996.

The federal Fair Credit Reporting Act (FCRA) promotes the fairness, accuracy, and privacy of information in the files of consumer reporting agencies. There are many types of consumer reporting agencies, including credit bureaus and specialty agencies (such as agencies that sell information about criminal records, employment history, and rental history records). Here is the complete Fair Credit Reporting Act Statue.

Fair Debt Collection Practices Act (PDF)
15 U.S.C. § 1692 et seq., is a United States statute added in 1978 as Title VIII of the Consumer Credit Protection Act. Its purposes are to eliminate abusive practices in the collection of consumer debts, to promote fair debt collection, and to provide consumers with an avenue for disputing and obtaining validation of debt information in order to ensure the information’s accuracy.

FTC Staff Opinion Letters
FTC Staff Opinion Letters is a collection of opinions made by attorneys regarding the Fair Credit Reporting Act. Concerned organizations or consumers can draft a letter documenting their issues or concerns. Industry professionals will then respond with their opinion. These opinions are set forth by the staff of the company responding, and are not binding on the Commission.

Graham-Leach-Bliley Act
Subtitle A of Title V of the Gramm-Leach-Bliley Act (“GLB Act”) has privacy provisions relating to consumers’ financial information.

Under these provisions, financial institutions have restrictions on when they may disclose a consumer’s personal financial information to nonaffiliated third parties. Financial institutions are required to provide notices to their customers about their information-collection and information-sharing practices. Consumers may decide to “opt out” if they do not want their information shared with nonaffiliated third parties.

HR1543
To amend the Fair Credit Reporting Act to exempt certain communications from the definition of consumer report, and for other purposes. Additional Legal Information

Speier Act
The federal government prohibits certain ownership arrangements in connection with federally funded programs such as Medicare and Medicaid.

In addition to the federal regulations, there are state laws restricting ownership. Both federal and state laws apply with equal force against physicians. It is important to review both in connection with any decision by a doctor to invest in a medical facility.

FACT Act Notice

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