Virginia Lawyers Weekly

Williams v. LexisNexis Management Inc.

Type of Case: Class action, violations of Fair Credit Reporting Act

Attorneys: Leonard A. Bennett, Christopher Colt North, Newport News; Michael A. Caddell, Richard D. Daly, Houston, Texas

Summary: Plaintiffs’ attorneys alleged that a subsidiary of LexisNexis that conducts background checks failed to provide claimants notice of a background report at the same time it provided the information to their employers or prospective employers. The class involved more than 272,000 people who received between $25 and $100 for a total payout of $19 million.

A second class composed of 1,777 claimants will receive $1,000 each. They contended that the company violated the act by requiring consumers to provide two forms of identification, which their attorneys argued violated FCRA’s requirement of a prompt reinvestigation once a complaint was received.

The settlement was reached in U.S. District Court in Richmond.

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