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LOUISIANA RECORD

Saturday, November 2, 2024

Sam's Club violated the Fair Credit Reporting Act, says Walker woman

Federal Court
Samsclub

BATON ROUGE - Sam's Club is under fire by a Walker woman accusing the bulk grocery chain of violating the Fair Credit Reporting Act, according to documents filed Feb. 22 in the U.S. District Court for the Middle District of Louisiana.

Plaintiff Stefanie Smart applied to work at the store and was given a job offer on Aug. 7, 2019, pending the successful completion of a background check. Later that day, Sam's Club rescinded the job offer, but then allegedly offered it again a week later again contingent on the successful completion of a background check by a third-party consumer reporting agency, First Advantage. 

Despite First Advantage stating that Smart was eligible for hire, Sam's Club once again rescinded the offer on Aug. 26 citing a failed background check; the first background check completed earlier in the month had listed Smart as not eligible for hire, the suit says.

The lawsuit describes First Advantage's background check as inaccurate, but alleges that the company violated the Fair Credit Reporting Act by failing to provide pre-adverse notice, a copy of the inaccurate background report and Smart's rights to appeal. 

Sam's Club is charged with one count of violating the FRCA; a jury trial is demanded where Smart is seeking actual, statutory and punitive damages, litigation fees and other appropriate judgement. 

Smart is represented by the Paramount Law Consumer Protection Firm of New Orleans. 

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