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FCRA Employer Certification & Compliance Agreement

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Before Global Background Screening (“GBS”) provides an employment background report, the requesting organization must certify that it has a permissible purpose and will comply with the Fair Credit Reporting Act (“FCRA”), applicable state and local laws, and all requirements governing the use of consumer reports for employment purposes.

 

This agreement applies to reports requested for hiring, promotion, reassignment, retention, contractor engagement, volunteer placement, or another employment-related decision.

 

This agreement is for the employer or authorized business client. It is not an applicant disclosure or authorization form.

 

Who Must Complete This Agreement?

 

An authorized representative of the organization requesting employment-purpose reports must complete this agreement before ordering or accessing reports through GBS.

 

The representative must have authority to bind the organization and certify compliance on its behalf.

 

Employer Certification and Agreement

 

In consideration of GBS furnishing consumer reports and related background-screening services, the undersigned Client agrees and certifies as follows:

 

1. Permissible Purpose and Limited Use

 

Client certifies that it will request and use consumer reports obtained through GBS only for a lawful, employment-related purpose permitted by the FCRA.

Client will:

  • Request a report only in connection with a legitimate employment-related decision involving the individual who is the subject of the report.

  • Use the report only for the specific purpose certified to GBS.

  • Not request, obtain, use, share, resell, or distribute a report for marketing, curiosity, personal reasons, debt collection, litigation unrelated to the certified purpose, or any other unauthorized purpose.

  • Not provide report access to a parent company, affiliate, customer, staffing client, or other third party unless GBS has approved that use in writing and the recipient has its own lawful permissible purpose.

  • Limit report access to authorized personnel with a legitimate need to know.

 

2. FCRA Disclosure and Authorization Certification

 

Before requesting an employment consumer report, Client certifies that it has:

  1. Provided the applicant or employee with a clear and conspicuous written disclosure that a consumer report may be obtained for employment purposes.

  2. Provided that disclosure in a stand-alone document consisting solely of the disclosure, except for limited additional information permitted by law.

  3. Obtained the individual’s written authorization before procuring the report.

  4. Kept records of the disclosure and authorization as required by applicable law.

Client will not include a liability waiver, release of claims, or other extraneous language in an FCRA stand-alone disclosure.

 

If Client seeks reports during employment—for retention, promotion, reassignment, or another continuing employment purpose—Client certifies that its disclosure and authorization clearly permit that use.

 

3. Investigative Consumer Reports

 

If Client requests a report that qualifies as an investigative consumer report, including a report based on personal interviews concerning character, general reputation, personal characteristics, or mode of living, Client will comply with the additional notice and disclosure requirements under FCRA §606.

 

This includes providing any required notice to the consumer within the legally required timeframe and responding to a consumer’s valid request for information about the nature and scope of the investigation.

 

4. Fair Hiring and Equal Employment Obligations

 

Client certifies that it will not use any report or information obtained through GBS to discriminate in violation of federal, state, or local equal employment opportunity laws.

 

Client is responsible for complying with all applicable laws affecting the consideration of criminal, credit, employment, education, or other background information, including laws concerning:

  • Fair-chance or “ban-the-box” requirements.

  • Individualized assessment or job-relatedness requirements.

  • Arrest, conviction, expunged, sealed, or juvenile records.

  • Credit-report restrictions.

  • Required notices, timing rules, and local adverse-action procedures.

  • Privacy, data-protection, and record-retention obligations.

 

Client understands that laws vary by the applicant’s location, work location, employer location, industry, and the purpose of the screening.

 

5. Pre-Adverse Action and Adverse Action

 

GBS does not make employment decisions. Client alone is responsible for deciding whether and how to use a report.

 

Before taking any adverse employment action based in whole or in part on information in a consumer report, Client will provide the individual with:

  • A copy of the consumer report relied upon; and

  • A current copy of A Summary of Your Rights Under the Fair Credit Reporting Act.

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Client will provide the individual a reasonable opportunity to review the report and dispute or explain potentially inaccurate information before making a final decision, subject to any longer waiting period or additional process required by applicable state or local law.

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If Client takes final adverse action based in whole or in part on a consumer report, Client will provide the required final adverse action notice. That notice must include the information required by the FCRA, including:

  • The name, address, and telephone number of the consumer reporting agency that supplied the report.

  • A statement that GBS did not make the employment decision and cannot provide the specific reasons for the decision.

  • Notice of the individual’s right to dispute the accuracy or completeness of the report with GBS.

  • Notice of the individual’s right to request an additional free copy of the report from GBS within 60 days.

 

Learn more about adverse action procedures.

 

6. Confidentiality, Data Security, and Disposal

 

Client will maintain consumer reports and information derived from consumer reports in a secure manner and will protect that information from unauthorized access, use, disclosure, alteration, or loss.

 

Client will:

  • Restrict access to authorized personnel only.

  • Use reasonable administrative, technical, and physical safeguards.

  • Avoid storing reports on unsecured personal devices or sharing reports through unsecured channels.

  • Promptly remove access when an authorized user no longer needs it.

  • Properly dispose of reports and report-derived information when no longer required for a lawful business, recordkeeping, or legal purpose.

 

Proper disposal includes reasonable measures to prevent unauthorized access to or use of consumer information, such as securely shredding paper records and permanently deleting electronic records so they cannot be read or reconstructed.

 

7. Account Integrity and Ongoing Certification

 

Client represents that all information provided to GBS during onboarding and ordering is accurate and complete.

 

Client will promptly notify GBS of any material change to its legal entity, ownership, business purpose, authorized users, or intended use of reports.

 

GBS may request supporting documentation, re-certification, or additional information to confirm Client’s permissible purpose and compliance. GBS may suspend or terminate access, decline an order, or take other appropriate action if it reasonably believes a report may be requested, used, or disclosed unlawfully.

 

8. GBS’s Role

 

GBS is a consumer reporting agency. GBS provides background-screening information and does not:

  • Make hiring, retention, promotion, reassignment, tenant, licensing, or other eligibility decisions.

  • Determine whether Client’s intended use of a report complies with every applicable state or local law.

  • Provide legal advice to Client.

  • Act as Client’s employer, legal representative, or decision-maker.

 

Client remains solely responsible for its employment decisions, disclosures, authorizations, policies, and compliance obligations.

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For general guidance, visit Background Screening Compliance and Employment Background Checks, and Privacy Policy

 

9. Acknowledgment

 

By signing or electronically accepting this agreement, Client acknowledges that:
 

  • It has received or has access to the FCRA Notice to Users of Consumer Reports and the current Summary of Consumer Rights.

  • It understands and accepts the obligations described in this agreement.

  • It will comply with the FCRA and all applicable federal, state, and local laws.

  • Its certifications apply to each employment-purpose report requested from GBS unless GBS agrees otherwise in writing.

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Commercial terms, payment obligations, limitations, privacy provisions, and other general terms remain governed by GBS’s Terms of Use.

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