Iowa Nurse Sues Healthcare Screening Provider Over Inaccurate Background Check

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Inaccurate Background Check

A nurse in eastern Iowa is suing an employment screening provider for allegedly providing an inaccurate healthcare background check that cost her a job offer. The lawsuit accuses the provider’s actions of violating the federal Fair Credit Reporting Act, which regulates background checks performed for employment.

According to the lawsuit, the plaintiff claims to have worked as a registered nurse for more than twenty years and holds a valid multi-state nursing license. In 2014, the Iowa Board of Nursing accused the plaintiff of marijuana use which the board states she admitted to. This caused her license to be suspended and then placed on probation pending the completion of treatment. In late 2016, the plaintiff completed all the terms of the suspension order, and her license was restored.

The plaintiff returned to work in 2017 without any issue before 2021 when she applied for a position with a new employer and received a conditional offer of employment contingent on the results of a background check. Once this background check was completed, the employer rescinded the offer due to the results.

The plaintiff contacted the screening provider and received a copy of the results of the background check. According to the lawsuit, the report indicated that she had eight different sanctions on her record and failed to state that she had a multi-state nursing license. The report allegedly further stated that her license had been indefinitely suspended without stating that it had later been fully restored as well as one reference to her California nursing license having been suspended when in actuality it had expired.

The plaintiff allegedly filed two disputes with the company under the FCRA. However, neither were responded to. The plaintiff filed a lawsuit against the company, alleging that the screening provider failed to employ reasonable procedures to ensure accuracy as required by the FCRA. The lawsuit claims that the provider simply accepts information from third-party vendors to sell in its screening products without taking measures to ensure accuracy.

The lawsuit seeks unspecified damages for alleged emotional distress, job denial, and other harms. As of yet, the company has not responded to the lawsuit.

With the current shortage of qualified nurses, this case demonstrates the importance of choosing a healthcare screening provider you can trust to provide accurate information.

This will help ensure that you will not miss out on qualified personnel and make the correct hiring decisions every time. Learn More

Make sure your company policies are compliant with new Federal law by learning more about fair chance hiring practices. Download our free resource on Adverse Action Notice Protocols in Compliance With FCRA to get started.