Karina Basso  |  July 9, 2014

Category: Labor & Employment

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Home Depot class action lawsuitHome Depot Inc. faces a potential class action lawsuit for allegedly running credit reports and background checks without notifying employees and job applicants. The home improvement company also allegedly failed to give current and potential employees copies of the credit and background reports before taking actions against them based on the outcome of these reports, thus violating the Fair Credit Reporting Act (FCRA).

The Home Depot class action lawsuit was filed at a Georgia federal court by Texas resident Trent Henderson on behalf of himself and other potential class members. Henderson alleges he applied for a job at his local Home Depot in Houston earlier this year via online application. The application included an “I Agree” button preceded by terms and disclosures and application confirmation, which Henderson clicked and provided his agreement.

For the application, Henderson willingly disclosed information about his past history, completed an interview, and performed a drug test as per required by the application process. According to the Home Depot class action lawsuit, “Home Depot obtains consumer reports about applicants, including Henderson, at approximately the same time it requires applicants to complete drug tests.”

Shortly after the drug test was conducted, Henderson was allegedly contacted by a Home Depot agent who informed him that he would not be receiving the position of employment because of his background. By refusing to hire Henderson based on the information of this consumer report, Home Depot’s actions are considered adverse employment action and violation of FCRA, according to the Home Depot background check class action lawsuit.

On May 5, Henderson and his attorneys requested information about Henderson’s files from Home Depot, including copies of background checks and consumer reports. Home Depot did not respond and did not provide the plaintiff’s information.

“Home Depot did not provide Henderson with a copy of any consumer report that Home Depot had obtained or a written description of his rights under the FCRA, whether prior to or after notifying him of its decision not to hire him,” the class action lawsuit says. His complaint goes on to state that Home Depot routinely refuses to release copies of consumer reports or provide notice of these reports to employees and job applicants.

Additionally, Henderson’s class action lawsuit also seeks to address how Home Depot violated FCRA rules through its application agreement prompt. Nowhere in the terms and disclosures provided by Home Depot’s online application does it use the term consumer report or indicate to an applicant that Home Depot may search for personal information from consumer report agencies.

The Home Depot background check class action lawsuit seeks to certify a Class of individuals who applied for work at Home Depot, agreed to the terms and disclosures, and were subject to consumer report without being informed on or after July 3, 2013. Henderson’s class action lawsuit is also seeking to certify those who have faced adverse employment action, like Henderson, and who did not receive copies of these reports.

Because of the sheer number of people who have applied for employment at Home Depot in the past year alone, the Class of plaintiffs could potentially include thousands of Home Depot applicants.

Henderson is represented by Steven L. Woodrow and Christopher L. Dore of Edelson PC and Jennifer Auer Jordan of The Jordan Firm LLC.

The Home Depot Background Check Class Action Lawsuit is Henderson v. The Home Depot Inc., Case No. 1:14-cv-02123, in the U.S. District Court for the Northern District of Georgia.

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4 thoughts onHome Depot Hit with Employee Background Check Class Action Lawsuit

  1. Michelle parks says:

    My husband is a contractor for Home Depot. And although he is not an employee they still requiring him to pay for Home Depot’s to run background checks on all of our employees. I don’t believe this is legal as we don’t work for Home Depot and these background checks take so long we lose our employees because they can not wait 3 weeks…..We have lost a good 50,000 a year in lost labor because of the ineffenciancy of these background checks. What are we to do as we know this is not legal. Home Depot can not tell us who we can and cannot hire. We are more than willing to get background checks ourselves and present them to Home Depot.

  2. GARTH SMITH says:

    Anyone updates on this suit?

  3. Aaron says:

    I Deffinetly applied for a job during that tim, and remember signing the background check release. How do I sign up for lawsuit?

  4. Sandy duroy says:

    I had a notice from the class action for being involved with the Home Depot class act suit. I also received a copy of my credit background check in the mail last week when I have not worked for them dice 2014. I did however go to work for one of their companies that sell hvac systems thru home depot yet, I never signed anything lately. I started in 9/2014. Can they do that?

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