What is this lawsuit about?
The Plaintiff alleges that Costco violated the Fair Credit Reporting Act ("FCRA") when it obtained background reports on job applicants by using a disclosure form that allegedly was not a stand-alone form as required by the FCRA. The Plaintiff alleges that the use of an allegedly non-compliant disclosure form (the "Challenged Disclosure Form") caused him harm and violated the law. Costco disputes the Plaintiff's claim and denies all liability to Plaintiff and the Class, and has raised a number of defenses to the claims asserted. Costco maintains that the Challenged Disclosure Form fully complied with the FCRA and did not harm anyone. The Parties are settling the Litigation to avoid further risk and expense. No court has found Costco to have violated the law in any way. No court has found that the Plaintiff or the Class could recover any certain amount in this Litigation. Although the Court has authorized notice to be given of the proposed Settlement, this Notice does not express the opinion of the Court on the merits of the claims or defenses asserted by either side in the Litigation.
A more detailed description of the lawsuit and important court documents may be found on the Important Documents page of this website.
Who is included?
You may be part of the Settlement if you applied for U.S. employment with Costco at any time from August 10, 2014, through April 17, 2017, authorized a background report, and Costco conducted a background check about you. If you were among the 1,510 individuals who were denied employment after review of your background report, you are considered one of the Class Members Entitled to Autopay, which means that you will get paid automatically, so long as you do not opt out of the class or object to this Settlement. If you instead were hired by Costco, you are not one of the Class Members Entitled to Autopay and, to receive a payment, you must submit a Claim Form alleging that you were harmed by the Challenged Disclosure Form.
If you received an Email Notice or Postcard Notice, Costco's records indicate that you are a member of the Settlement Class. The Notice will tell you if you are one of the Class Members Entitled to Autopay (in which case you don't need to submit a Claim Form), or are not one of the Class Members Entitled to Autopay (in which case you need to submit a Claim Form if you want a payment). If you are not certain as to whether you are a Class Member, you may contact the Settlement Administrator to find out. The Administrator can be reached at 1-833-380-5571. The question of class membership is determined based on Costco's records and investigation.