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Uber Technologies was hit with a class action lawsuit alleging it performs illegal background checks and violated federal law when it checks on drivers for its mobile-app that helps users find transportation, according to a Boston cabdriver.
Uber along with its subsidiary Rasier, LLC and Hirease, LLC, a company that performs background checks, was hit with the illegal background check class action lawsuit on Monday in California federal court by plaintiff Abdul Kadir Mohamed, who alleges that they violated the Fair Credit Reporting Act as well as credit reporting laws in both California and Massachusetts.
Mohamed claims that he had been employed by Uber as an “Uber Black” driver and wanted to become and “Uber X” driver. However, Uber said that he would have to get a new car.
In the Uber class action lawsuit, Mohamed says that in September he bought a new car for about $25,000 to comply with the Uber X requirements.
However, on Oct. 28, Mohamed says he received an email from “uberreports@hireease.com” saying that because of information from a consumer report from Hireease, Rasier was “unable to further consider” his proposal to become an Uber X driver.
In addition, around the same time that he received the email, “access to the Uber app on his phone, which previously enabled him to work as an Uber driver, was turned off.”
The email said that Mohamed had received a copy of the report “‘in accordance with the Fair Credit Reporting Act,'” but the Boston cabdriver says that this was not the case.
In addition to not receiving a copy of the consumer report, he also did not receive a “pre-adverse action notice,” giving him a chance to explain the contents of the consumer report in accordance with the FCRA, the Uber class action lawsuit states.
“On information and belief, defendants terminated plaintiff because Hireease’s consumer report concerning plaintiff indicated he had a minor criminal record that, in fact, stems from his seven children receiving much-needed Medicaid benefits,” Mohamed explains in his illegal background check class action lawsuit.
And now, because he was fired by Uber, he is left “without an alternative means of providing for his family, including his seven children.”
According to the Uber class action lawsuit, the credit reporting laws give businesses guidelines for how consumer background checks may be used for hiring or firing employees.
“Specifically, the statutes require that an employer first disclose its intent to use a background report in its hiring decision and must obtain the prospective employee’s written authorization to do so, and the employer’s disclosure must be ‘in a document that consists solely of the disclosure,'” Mohamed explains in the FCRA lawsuit.
In addition, because “misreported information can and does often lead to grave consequences for the job seeker,” businesses are supposed to provide a copy of the report to the subject, as well as a copy of the person’s rights under the federal law, and give each person “a reasonable opportunity to dispute the information” before there are “any adverse” decisions about the person’s employment.
The same rights are granted under the California law, where Uber is headquartered, and Massachusetts credit reporting laws, where Mohamed lives and works.
Also, under California law, employers are supposed to notify the person in writing that a consumer credit report is going to be performed. That notice is also supposed to include “the source of the report, and shall contain a box that the person may check off to receive a copy of the credit report.”
Mohamed claims that Uber and Rasier uses consumer reports for the purpose of employment and that the FCRA applies to them.
He “alleges that Uber and Rasier knowingly, voluntarily, and with the assistance of its counsel, executed a certification providing that it would comply with various provisions of the FCRA,” but that the companies “knowingly violated” the federal and state laws.
Mohamed is represented by Tina Wolfson, Robert Ahdoot, Theodore W. Maya and Bradley K. King of Ahdoot & Wolfson PC.
Counsel information for Uber, Rasier and Hirease was not immediately available.
The Uber Illegal Background Check Class Action Lawsuit is Mohamed v. Uber Technologies Inc et al., Case No. 3:14-cv-05200, in the U.S. District Court in the Northern District of California.
UPDATE: On May 30, 2017, following a $7.5 million settlement reached in April, plaintiffs in an Uber background check class action lawsuit dismissed their claims against Uber’s background check provider Hirease LLC.
UPDATE 2: September 2017, the Uber background check class action settlement is now open. Click here to file a claim.
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13 thoughts onUber Hit With Illegal Background Check Class Action Lawsuit
I just got denied from uber for background check so I requested one…no priors…no tickets in over 5 years and a valid license…they also said they do not perform credit checks…so what in the world is going on? Who could I call?
I never step in an office for an interview or anything. After a year or so I left Uber and I was still being charged $10 a week for their iPhone usage app for months. I had to close my checking account and open up another one.
Is there a way to sue the company they use for background checks, here in california its Checkr and they are reporting bad info, i provided a dmv print out and they still will not change what is incorrect. if anyone can help please email me at c.n.wickham@gmail.comthank you
I was advised by Uber that my Mercedes S550 would be in the UberLux class but after driving noticed Uber has me as an UberX. The Lowest ride they provide. My Mercedes S550 looks new, no scratches, or dents and is in perfect condition. I think Uber has falsely recruited people to drive around Business Executives for Cheap in expensive cars. MY Car is the exact Mercedes S550 used on the FRONT PAGE to there website, Same model, Color, and Year.
I was congratulated to be hire to work with Uber, I work only for a week and stop my account and inactive and sent a email that I am unsubscribed for Uber for background check, Who show a misdemeanor that it out of my record and one traffic ticket for defective equipment. Leaving my 3 kids to supported for my family I am upset how Uber congratulate and gain for their own without not accepting any dispute on my case
Does anyone here know why they consider dismissed cases in the background report? If a court dismissed me from these charges, how can Uber use them against me? Do I have rights here? Am I able to talk to them directly? And email from someone at Uber said I cannot have any felonies or misdemeanors related to theft, violence, or drugs. The one charge (of 5) that I was actually convicted on is not related to theft, violence, or drugs. Though two of the others were – I was not convicted on them. They were DISMISSED cases. So like…what the F?
Kate, I see that this was long ago…..but wanted to know if you received any favorable resolution to this matter? I am in a situation of the same thing like. Where I stopped payment for a contractor working on a summer home of mine back in 2010. The issue was finally taken care of in front of a judge and dismissed. The contractor came back and finished the work properly, and I paid the man case was dismissed. How do I get Uber to overturn there decision can you help me with info on this at all?
UBER HAS HIRED ME LET ME WORK FOR A WEEK AND THEN I GUESS FIRED ME FOR 2 SPEEDING TICKETS THAT WERE NO LONGER ON MY DRIVING RECORD ALSO CLAIM THAT MY CRIMINAL RECORD FROM BACK IN 1982 FOR MISDEMEANOR MARIJUANA CHARGE WAS NOT ACCEPTABLE I AM NOW 53 YEARS OLD WITH MY OWN CAR SERVICE WHO WAS LOOKING TO FILL DOWN TIME IN BETWEEN AIRPORT CALLS I AM VERY UPSET AFTER FORWARDING LOTS OF MY CLIENTS TO THEM WITH THE UNDERSTANDING THAT WE WERE GOING TO DO BUSINESS TOGETHER AND NOW BECAUSE OF A BACKGROUND CHECK THAT THEY CLAIM FOR A MISDEMEANOR CHARGE FROM WHEN I WAS A KID THAT WE CAN NO LONGER DO BUSINESS TOGETHER AND YOU CANT TALK TO THEM IN PERSON OR OVER THE PHONE THEY WILL ANSWER YOU WHEN THEY WANT AND WITH SMUG ANSWERS I WANT PART OF THIS CLASS ACTION LAW SUIT BADLY
I was advised by Uber that my Mercedes SUV with low mileage was too old to be an UBER car. I keep my car in pristine condition and Uber rather have people in KIAS driving around Business Executives.
Lmfao
Yeah my Roommate was fired also by uber . They did a back round check on him when they first hired him. and out of the blue months later they get a hold of him and said he could no longer drive for them because of back round check. He did not even know they ran the checks on him . The company is messed up.
I had false inaccurate things as well from hireease’s as well which is why they revoked me. But, when I called hireease and got it sorted out. Uber than sent me an email invitation to come and meet. So, yeah this company hireease is no good and plain old stupid.