Kelly Services Background Check Class Action Settlement

Kelly Services Inc. has agreed to settle a class action lawsuit alleging it violated the Fair Credit Reporting Act by conducting background checks on job applicants and employees without disclosures that were required by law.

If Kelly procured a consumer report on you between July 18, 2012 and Jan. 23, 2014, you may be entitled to a cash payment from the FCRA class action settlement.

The class action lawsuit alleges Kelly provided employees and job applicants with a FCRA disclosure form that contained a liability release, in violation of the FCRA. The disclosure was part of a form authorizing Kelly to conduct background checks on job applicants and employees.

According to the Kelly class action lawsuit, the background check authorization disclosure included a waiver and disclaimer that released Kelly from any liability, which is prohibited under the FCRA.

The first allegedly improper sentence stated: “To the fullest extent permitted by law, I release Kelly, its employees, agents, successor and assigns, from any and all claims, actions or liability whatsoever that are in any way related to the procurement of a consumer report about me, or any subsequent investigation(s) of my background or personal history.”

The second allegedly improper sentence stated: “I understand that this Authorization is not a contract for continued employment and does not alter the at-will nature of my employment or offered employment.”

Plaintiffs Lasandra Hillson, Steven Bohler and Ashley Schmidt claim that the inclusion by Kelly of the waiver and disclaimer on the disclosure form violated the FCRA’s stand-alone disclosure requirement.

Kelly denies the allegations but has agreed to settle the FCRA class action lawsuit to avoid the risk and expense of ongoing litigation. Approximately 221,216 Class Members are eligible for benefits from the Kelly class action settlement.

In addition to providing cash benefits to eligible Class Members, Kelly has also agreed not to include a liability release on its FCRA disclosure form for five years. Class Members are also entitled to receive a free copy of any consumer report that is procured by Kelly.

The Kelly FCRA class action settlement was preliminarily approved on Jan. 23, 2017.

If you would like to opt out of or object to the Kelly FCRA class action settlement, you must do so no later than April 10, 2017.

Who’s Eligible

Class Members of the FCRA settlement include: “All persons on whom Kelly procured a consumer report pursuant to the Fair Credit Reporting Act during the period from July 18, 2012 through January 23, 2014, and whose initial hire date at Kelly was during the period of time when Kelly was providing new applicants with a disclosure form that contained a liability release.”

If you are not sure if you are a Class Member, contact the Settlement Administrator at 1-888-221-9824 for more information.

Potential Award

$90 or $272 (estimated)

The actual amount each Class Member will receive depends on several factors, including the number of timely and valid Claim Forms that are returned.

If Kelly’s records indicate a Class Member was “Adjudicated Ineligible,” that Class Member will receive an estimated payment of approximately $272, and Class Members who were not will receive an estimated payment of approximately $90.

Proof of Purchase

N/A

Claim Form

CLICK HERE TO FILE A CLAIM »

Claim Form Deadline

4/25/2017

Case Name

Hillson, et al. v. Kelly Services Inc., Case No. 2:15-cv-10803, in the U.S. District Court for the Eastern District of Michigan, Southern Division

Final Hearing

8/2/2017

UPDATE: The Kelly Services Background Check settlement was granted final approval on August 11, 2017.  Let Top Class Actions know when you receive a check in the comments section below or on our  Facebook page.

Settlement Website

www.HillsonFCRASettlement.com

Claims Administrator

Hillson v. Kelly Services Inc.
P.O. Box 4234
Portland, OR 97208
1-888-221-9824

Class Counsel

Anna P. Prakash
NICHOLS KASTER PLLP

E. Michelle Drake
BERGER & MONTAGUE PC

Ian Lyngklip
LYNGKLIP & ASSOCIATES CONSUMER LAW CENTER PLC

Defense Counsel

Gerald L. Maatman Jr.
Pamela Q. Devata
Laura J. Maechtlen
SEYFARTH SHAW LLP