Final Approval of DMG Mori’s Background Check Settlement Delayed

DMG Mori’s $825,000 proposed settlement to resolve claims over employee background checks would be up for final approval this week, but a federal court in California said that it was delaying consideration after it took issue with lead counsel’s fee request.

The plaintiffs in 2021 won summary judgment on their Fair Credit Reporting Act claims. The U.S. District Court for the Northern District of California concluded that DMG Mori willfully violated the law by providing prospective employees with improper disclosures about its background checks.

No declarations or other documentation were provided to support counsel’s claimed hourly rates, the court said ...