Anne Bucher  |  October 10, 2014

Category: Consumer News

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LinkedIn class action lawsuitLinkedIn Corp. was hit yesterday with a class action lawsuit alleging it violates the Fair Credit Reporting Act (FCRA) through its use of its “search for references” feature, which allows prospective employers to obtain information about job applicants. Enacted in 1970, the FCRA regulates the practices of consumer reporting agencies to ensure they protect the accuracy, relevance and confidentiality of consumer information.

Plaintiffs Tracee Sweet, Lisa Jaramillo, James Ralston and Tiffany Thomas filed the LinkedIn class action lawsuit, which alleges their rights under the FCRA were violated by LinkedIn’s reference search functionality. They believe that prospective employers may have made decisions that adversely affected their employment based on information found in LinkedIn’s reference search system.

LinkedIn is an online network of professionals. With more than 300 million members worldwide, it is the world’s largest web-based professional network. The website allows members to connect with current and former colleagues and get introduced to other professionals in their field. Additionally, it allows employers to post jobs and allows users to apply for those opportunities.

“Though LinkedIn aggregates a significant amount of consumer information, LinkedIn represents to its members that it does not license or sell member content to third-parties to show anyone else without the express permission of the particular member,” the LinkedIn class action lawsuit says.

LinkedIn also offers reference search functionality, which allows users to search for “references” on any member of the network. By using the “Search for References” link, prospective employers can access a report containing employment information of all individuals in the user’s network who may have worked with the applicant. They are then able to view the profile of any “references” that are listed and are able to send them a personal message through LinkedIn’s messaging system.

However, members of the networking site are allegedly not notified when prospective employers run a reference report on them. “As such, any potential employer can anonymously dig into the employment history of any LinkedIn member, and make hiring and firing decisions based upon the information they gather, without the knowledge of the member, and without any safeguards in place as to the accuracy of the information that the potential employer has obtained,” the LinkedIn class action lawsuit alleges.

“In essence, LinkedIn has created a marketplace in consumer employment information, where it sells employment information, that may or not be accurate, and that it has obtained in part from unwitting members and without complying with the FCRA,” the LinkedIn class action lawsuit continues.

The plaintiffs filed the LinkedIn class action lawsuit on behalf of themselves and all persons in the United States who had a reference report run on them that was initiated through LinkedIn’s “search for references” feature in the last two years.

The LinkedIn class action lawsuit also proposes a subclass of individuals who applied for employment through a LinkedIn job posting and whose potential employer ran a reference report initiated through LinkedIn’s “search for references” feature.

The plaintiffs are represented by Todd M. Friedman of the Law Offices of Todd M. Friedman PC and James L. Davidson of Greenwald Davidson PLLC.

The LinkedIn Reference Report Class Action Lawsuit is Tracee Sweet, et al. v. LinkedIn Corp., Case No. 3:14-cv-04531, in the U.S. District Court for the Northern District of California.

UPDATE: A California federal judge dismissed the LinkedIn class action lawsuit on April 14, 2015, but will allow the plaintiffs to file an amended complaint.

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5 thoughts onClass Action Lawsuit Takes Issue with LinkedIn Reference Reports

  1. Angelica Romero says:

    I have an account. Add me.

  2. Top Class Actions says:

    UPDATE: A California federal judge dismissed the LinkedIn class action lawsuit on April 14, 2015, but will allow the plaintiffs to file an amended complaint.

  3. christy cypret says:

    I had all mine picture and personal information stolen when I sign up to this account .still today don’t no where mine stuff went.and people still using mine personal information thanks to signing up to this supposed to be safe account .

  4. Jeremy McMillan says:

    I have been a victim of this and still receive emails weekly

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