Blogs

INDUSTRY NEWS

Lyft obtains dismissal of FCRA class action

In another victory for employers under Spokeo, Lyft, the ride-sharing service, recently obtained dismissal of a putative class alleging that it violated the Fair Credit Reporting Act (“FCRA”) when obtaining background checks on its drivers.

The plaintiff, Michael Nokchan, was a driver for Lyft. Nokchan alleged that Lyft violated the FCRA by failing to provide him a disclosure of his rights to request his credit and background report when he applied to become a driver. Lyft moved to dismiss the Complaint on the grounds that, even if there was a technical violation of the statute, Nokchan did not suffer any type of harm as required by the U.S. Supreme Court’s 2016 decision in Spokeo, Inc. v. Robins, 136 S. Ct. 1540 (2016). The district court agreed based on the fact that Nokchan was hired by Lyft and continues to work for Lyft. Accordingly, there could be no real harm, or a threat of such harm, to give Nokchan to pursue his claims in federal court. The facts in this case were similar to those in Spokeo, where the Supreme Court ruled that failure to provide the required notice to users of consumer information under the FCRA, would not be sufficient harm to meet the “concrete harm” requirement by plaintiffs.

It is noteworthy that the district court rejected Nokchan’s claim that his privacy was invaded because the supposed FCRA disclosures were absent, and rejected the claim that Nokchan had suffered “informational injury” because Lyft had procured his credit and background information without providing the required FCRA disclosures. Accordingly, the district court concluded that, absent some “concrete injury”, it lacked jurisdiction over Nokchan’s claim and dismissed the case without prejudice (though allowing its refiling in state court).

Source: Nokchan v. Lyft, Inc., No. 15-cv-03008 (N.D. Cal. Oct. 5, 2016)

Sending...
Thank you for your interest in Business Information Group. We have received your message and will contact you in one business day or less.
Something went wrong. Try again
You have exceeded the number of attempts to submit this form. As a result, your IP address has been temporarily blocked.
Something went wrong. Try again

Get In Touch

Send a Message *fields required

What are your Interests?optional

Even our RFP PROCESS is state-of-the-art.

Find out why
RFP Kit

What Our Clients Are Saying

Everyone I have contacted at Certiphi has been a complete pleasure to work with. The Certiphi customer service rivals every other customer service I come in contact with. Everyone is always so professional, yet super nice! Thanks for all you do and keep up the amazing work and impeccable service that you provide!!!

Human Resources Assistant
Large Medical Staffing Firm

Thank you so much! You have such an incredible reputation within our office; I think we would all say your customer service levels are continually at about 125%!

Human Resources Generalist
Medical and Surgical Hospital

The response time has been very quick. The turnaround times are great. I love your systems and that I can go in and look at the process as its going.

Human Resources Manager
Medical Staffing Agency

It’s such a great customer service that you provide and I’m happy to tell that to anyone.

Pastoral Care Associate
Large Children's Hospital

Working with Certiphi has been such a pleasure. Certiphi has taught me so much, not just about backgrounds but also the meaning of great business.

Human Resources Specialist
Large Medical Staffing Firm

We flew through our NCQA licensure review.  We very much appreciate Certiphi's help in earning a 100% score for the files!

Accreditation Manager
Hospital System Analytics Company

You are about to leave Certiphi.com

Ok, Continue Cancel

×
×