Class Action Lawsuit Filed Against Cardinal Logistics Management

09/13/2022 12:23 PM By Kayla Florence

A former employee filed a class action against Cardinal Logistics Management in early July, claiming the alleged acquisition of background reports for employment matters were lacking proper disclosures and written authorization (

The lawsuit seeks to include current, former, and prospective employees who applied for a job and had a background check performed for the company within the last five years before the complaint was presented, until a date that is to be determined.

The FCRA requires that employers provide a “clear and conspicuous” disclosure prior to procuring an employee’s consumer report as well as the individual’s authorization. The lawsuit specifies ways in which Cardinal allegedly breached the FCRA:                     

  • Concealing the disclosure in small font within a document with extra information
  • Did not get written authorization before running the background check
  •   Incorporating a liability waiver in the same document as the disclosure
  •  Inserting a misleading authorization for third parties to disclose consumer information to Cardinal that is different from the consumer report authorization
  • Depriving subjects of its background checks of a summary of their rights under the FCRA. 

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