Johnson v. Casey's General Stores, Inc.

116 F. Supp. 3d 944, 2015 U.S. Dist. LEXIS 100464, 2015 WL 4542143
CourtDistrict Court, W.D. Missouri
DecidedJuly 27, 2015
DocketCase No. 6:15-cv-30860-MDH
StatusPublished
Cited by1 cases

This text of 116 F. Supp. 3d 944 (Johnson v. Casey's General Stores, Inc.) is published on Counsel Stack Legal Research, covering District Court, W.D. Missouri primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Johnson v. Casey's General Stores, Inc., 116 F. Supp. 3d 944, 2015 U.S. Dist. LEXIS 100464, 2015 WL 4542143 (W.D. Mo. 2015).

Opinion

ORDER

DOUGLAS HARPOOL, District Judge.

Before the Court is Defendant’s Motion to Dismiss Plaintiffs Complaint (Doc. No. 18) and Defendant’s Motion to Dismiss and/or Substitute Improper Defendant and Integrated Memorandum in Support. (Doc. No. 20). The Court has reviewed the pending Motions and denies them for the reasons set forth herein.

BACKGROUND ,

Plaintiffs Complaint alleges Defendant Casey’s General Stores, Inc. violated the stand-alone disclosure requirement of the Fair Credit Reporting Act (“FCRA”). Plaintiff is seeking damages on behalf of herself, and a claiss of similarly situated individuals,1 including statutory damages, punitive damages, costs and attorneys’ fees.

' Plaintiff claims on or around February 25, 2013, she applied to work as a pizza delivery driver for a Casey’s location in Mountain Grove, Missouri. Plaintiff was already employed by Casey’s in a customer service job. However, in order to be considered for a pizza delivery position she was required to reapply for the delivery position. Casey’s required applicants for driving positions to undergo and pass a background check. Casey’s used Hire-Right, Inc. to assist with the background checks.

When Plaintiff applied for. the delivery position she was provided with an “Authorization Form for Consumer Reports FCRA Release,” which she signed. The form Plaintiff signed is attached to the Complaint as Exhibit 1. Plaintiff alleges Casey’s had a policy to systematically procure consumer reports without first disclosing in writing to the consumer, in a document that consists solely of the disclosure, that a consumer report may be obtained for employment purposes. Plaintiff further alleges Casey’s violations of the FCRA were willful.

STANDARD OF REVIEW

Defendant moves to dismiss Plaintiff’s lawsuit pursuant to Fed.R.Civ.P. 12(b)(6). “To survive a motion to dismiss, a corn-[946]*946plaint must contain sufficient factual matter, accepted as true, to “state a claim to relief that is plausible on its face.” ” Ashcroft v. Iqbal, 556 U.S. 662, 678, 129 S.Ct. 1937, 1949, 173 L.Ed.2d 868 (2009). If the complaint alleges facts sufficient for the Court to draw a reasonable inference that Defendant is liable for the alleged misconduct, the claim has facial plausibility and will not be dismissed. Id. at 678, 129 S.Ct. 1937. In analyzing a Motion to Dismiss, a court must accept Plaintiffs well-pleaded allegations as true. Conley v. Gibson, 355 U.S. 41, 45-46, 78 S.Ct. 99, 102, 2 L.Ed.2d 80 (1957); Morton v. Becker, 793 F.2d 185, 187 (8th Cir.1986). While the Court accepts the complaint’s factual allegations as true, it is not required to accept the plaintiffs legal conclusions. Ashcroft, 556 U.S. at 678, 129 S.Ct. 1937. “Threadbare recitals of the elements of a cause of action, supported by mere conclusory statements, do not suffice.” Id.

The court’s assessment of whether the complaint states a plausible claim for relief is a “context-specific task that requires the reviewing court to draw on its judicial experience and common sense.” Ashcroft, 556 U.S. at 679, 129 S.Ct. 1937. The reviewing court must read the complaint as a whole rather than analyzing each allegation in isolation. Braden v. Wal-Mart Stores, Inc., 588 F.3d 585, 594 (8th Cir.2009).

DISCUSSION

Plaintiffs claims are based on the FCRA, which provides in part:

2) Disclosure to consumer
(A) In general
Except as provided in subparagraph (B), a person may not procure a consumer report, or cause a consumer report to be procured, for employment purposes with respect to any consumer, unless—
(i) a clear and conspicuous disclosure has been made in writing to the consumer at any time before the report is procured or caused to be procured, in a document that consists solely of the disclosure, that a consumer report may be obtained for employment purposes; and
(ii) the consumer has authorized in writing (which authorization may be made on the document referred to in clause (i)) the procurement of the report by that person.

15 U.S.C.A. § 1681b (emphasis added).

Plaintiff claims Casey’s “Authorization Form for Consumer Reports FCRA Release” falls under the FCRA and violates the stand-alone disclosure requirement. Casey’s argues the report is exempt from the FCRA’s definition of consumer report pursuant to § 1681(a)(y)(l) which states:

(y) Exclusion of certain communications for employee investigations
(1) Communications described in this subsection A communication is described in this subsection if—
(A) but for subsection (d)(2)(D) of this section, the communication would be a consumer report;
(B) the communication is made to an employer in connection with an investigation of—
(i) suspected misconduct relating to employment; or
(ii) compliance with Federal, State, or local laws and regulations, the rules of a self-regulatory organization, or any preexisting written policies of the employer;
(C) the communication is not made for the purpose of investigating a consumer’s credit worthiness, credit standing, or credit capacity; and
(D) the communication is not provided to any person except—
[947]*947(i) to the employer or an agent of the employer;
(ii) to any Federal or State officer, agency, or department, or any officer, agency, or department of a unit of general local government;
(iii) to any self-regulatory organization with regulatory authority over the activities of the employer or employee;
(iv) as otherwise required by law; or
(v) pursuant to section 1681 of this title.

Casey’s contends the background check run when Plaintiff wanted to transfer from a customer service position to a delivery position was not a “consumer report” because it falls within the statutory exemption for employee investigations under the FCRA. Casey’s further argues “the background report on Johnson was procured and communicated to Casey’s to investigate compliance with Casey’s pre-existing policy for individuals seeking to deliver pizzas directly to a customer’s home. Further, it was not made to investigate Johnson’s credit, nor was the report provided to anyone but Casey’s.”

Plaintiff believes to allow the background report to fall within the “investigative report” exemption would destroy the purpose of the rule, and that there is a difference between a “consumer report” and an “investigative consumer' report.” See Freckleton v. Target Corp., 81 F.Supp.3d 473 (D.Md.2015).

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Bluebook (online)
116 F. Supp. 3d 944, 2015 U.S. Dist. LEXIS 100464, 2015 WL 4542143, Counsel Stack Legal Research, https://law.counselstack.com/opinion/johnson-v-caseys-general-stores-inc-mowd-2015.