Pepsi agrees to pay $1.2 million in background check settlement

Pepsi agrees to pay $1.2 million in background check settlement

Excerpted from a Top Class Actions blog by Anne Bucher

A $1.19 million settlement has been proposed in a class action lawsuit alleging Pepsi Beverages Company (PBC) violated the Fair Credit Reporting Act (FCRA) by procuring background reports for employment purposes without making certain required disclosures.

If Bottling Group LLC, Grayhawk Leasing LLC or New Bern Transport Co. (collectively referred to as Pepsi Beverages Company or PBC) ran a background check on you at any time between June 19, 2015 and Oct. 2, 2017, you may be entitled to a cash payment from the FCRA class action settlement.

A former PBC employee filed the Pepsi background check class action lawsuit in June 2017, claiming the company violated the FCRA by failing to make necessary disclosures prior to obtaining background checks for employment purposes.

Plaintiff Altareek Grice says he applied for a job at Bottling Group LLC, a PepsiCo subsidiary, in August 2016. He claims the company failed to disclose that it would obtain a consumer report for employment purposes in a document consisting solely of the disclosure, in violation of the FCRA.

According to the Pepsi class action lawsuit, FCRA violations may result in fines of $100 to $1,000 per violation.

The Pepsi defendants deny any wrongdoing but agreed to settle the FCRA class action lawsuit to avoid the burden and expense of ongoing litigation.

The Pepsi class action settlement was preliminarily approved on May 23, 2018.

About 23,133 Class Members may be entitled to payment from the Pepsi FCRA settlement.

You can read the full post here.

 

Site Designed and Developed by Agency Creative