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Background Check Agreement Form

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BACKGROUND CHECK AGREEMENT

This Background Check Agreement (the Agreement) is entered into as of by and between Client Name: , with principal address: (Client), and Applicant Name: , with address: (Applicant).

RECITALS

WHEREAS, Client requires a background investigation of Applicant for the purpose of assessing Applicant's suitability for employment, engagement, licensure, or volunteer service described herein; and

WHEREAS, Applicant acknowledges receipt of a disclosure and authorizes Client and its designated agents to obtain and use consumer reports, investigative consumer reports, and other background information about Applicant for the Permitted Purpose set forth below; and

WHEREAS, Client and Applicant desire to set forth the terms and conditions under which such background information will be requested, used, stored and disclosed.

NOW, THEREFORE, in consideration of the mutual covenants and promises contained herein, the parties agree as follows:

1. AUTHORIZATION AND CONSENT

Applicant expressly authorizes Client and its authorized agents to obtain background information about Applicant, including consumer reports and investigative consumer reports, for the purpose of evaluating Applicant's suitability for the position, contract, licensure, or volunteer capacity identified by Client. Applicant authorizes the disclosure of any relevant records and information by third parties, including but not limited to employers, educational institutions, courts, law enforcement agencies, licensing agencies, and credit reporting agencies.

Applicant printed name for authorization:   Date of birth:   Last 4 of SSN:

2. SCOPE OF INVESTIGATION

Client may procure any of the following checks as applicable to the Permitted Purpose. Applicant acknowledges and consents to the types of checks selected below:

3. PERMITTED PURPOSE

The parties agree that the Permitted Purpose for obtaining the reports described in this Agreement is: . Client will use the information only for the stated Permitted Purpose and as required by applicable law.

4. BACKGROUND CHECK REPORTS; ADVERSE ACTION

If Client receives a background check report that may adversely affect Applicant's eligibility for the position, Client will comply with any pre-adverse action procedures required by law prior to making a final adverse determination. Applicant shall be provided an opportunity to review and respond to the information in the report prior to final action being taken, consistent with applicable legal requirements.

5. USE, STORAGE, AND DISCLOSURE OF INFORMATION

Client will treat all background check information as confidential and will limit access to personnel who have a legitimate need to know for the Permitted Purpose. Client may retain copies of reports for its records for a reasonable retention period necessary to comply with recordkeeping obligations and defend against claims. Client will not disclose background check reports except to: (a) the Applicant where required by law; (b) Client's representatives and advisors who have a need to know; or (c) as otherwise required by law.

6. APPLICANT REPRESENTATIONS AND WARRANTIES

Applicant represents and warrants that all information provided to Client in connection with this Agreement is true, accurate and complete. Applicant authorizes Client to verify and investigate any statements made by Applicant and agrees to provide additional information reasonably requested to complete the background check process.

7. CONFIDENTIALITY AND DATA SECURITY

Client will implement administrative, technical and physical safeguards designed to protect the confidentiality and integrity of Applicant information consistent with industry standards and applicable law. In the event of an unauthorized disclosure of personal information, Client will take reasonable steps to investigate and, where required by law, notify Applicant and relevant authorities.

8. INDEMNIFICATION

Applicant agrees to indemnify and hold Client and its agents harmless from any claims, losses, costs or liabilities arising from Applicant's intentional misrepresentation, omission of material facts, or unauthorized use of the background information obtained under this Agreement. Client agrees to indemnify Applicant for any willful misuse of Applicant's information by Client in violation of this Agreement.

9. NOTICES

All notices required or permitted under this Agreement shall be in writing and delivered to the addresses set forth below or such other address as a party may designate by written notice in accordance with this section.

10. AMENDMENTS; WAIVER

No modification, amendment, or waiver of any provision of this Agreement shall be effective unless in writing and executed by both parties. Failure to exercise any right shall not constitute a waiver of that right unless a written waiver is executed by the party entitled to the right.

11. GOVERNING LAW

This Agreement shall be governed by and construed in accordance with the laws of the state of , without regard to conflict of law principles. The parties submit to the exclusive jurisdiction of the courts located in that state for disputes arising under this Agreement, to the extent permitted by law.

12. ENTIRE AGREEMENT; SEVERABILITY

This Agreement constitutes the entire agreement between the parties with respect to the subject matter hereof and supersedes all prior oral and written agreements and understandings. If any provision of this Agreement is determined to be invalid or unenforceable, the remaining provisions shall remain in full force and effect.

13. COUNTERPARTS

This Agreement may be executed in counterparts, each of which shall be deemed an original, and all of which together shall constitute one and the same instrument. Signatures delivered electronically or by facsimile shall be deemed originals for all purposes.

14. MISCELLANEOUS PROVISIONS

If Applicant withdraws consent or contests the accuracy of any information, Applicant must notify Client in writing at the Applicant Notice Address above. Client shall consider any additional information provided by Applicant prior to taking final action and shall document the consideration of such information.

APPLICANT ACKNOWLEDGEMENT

By signing below, Applicant acknowledges that Applicant has read and understands this Agreement, that Client has provided Applicant with a clear written disclosure that a consumer report or investigative consumer report may be obtained, and that Applicant voluntarily consents to the background checks authorized herein.

Client Printed Name:

By:

Date:

Applicant Printed Name:

By:

Date:

Enter text✕

What the Background Check Agreement Form Is and When It’s Used

A Background Check Agreement Form documents an individual’s consent to a pre-employment or volunteer screening and authorizes a background screening provider to collect, review, and disclose relevant records. The form typically states the scope of checks (criminal, credit, education, employment), explains how results will be used, includes consumer notification language when an adverse action is possible, and records the applicant’s signature and date. Employers must retain a copy per recordkeeping rules and must follow federal disclosure and authorization requirements for consumer reporting agencies and Fair Credit Reporting Act responsibilities.

Why a Clear Agreement Form Matters

A well-drafted Background Check Agreement Form ensures lawful consent, reduces legal risk, and creates an auditable record of the applicant’s permission to perform checks. It clarifies the types of screening used and the process for adverse actions while supporting compliance with consumer reporting and privacy laws.

Why a Clear Agreement Form Matters

Who Completes and Signs This Form

Proper use of this form helps organizations justify decisions, meet legal notice requirements, and retain evidence in case of disputes or audits.

  • Human resources teams and hiring managers who need documented consent and an audit trail for screening.
  • Third-party background screening vendors who require written authorization to request consumer reports.
  • Volunteers and applicants in regulated roles such as healthcare, childcare, or financial services who must undergo checks.

Essential Sections in a Professional Background Check Agreement Form

A complete form balances clarity for the applicant with the employer’s compliance needs; include consent language, scope of checks, disclosure notices, signature blocks, retention and revocation instructions, and contact details for the screening provider.

Identification

Collect full legal name, other names used, date of birth, and government-issued ID details so the screening vendor can match records accurately and avoid false positives.

Scope of Checks

List each check requested (criminal history, credit, education verification, employment verification, motor vehicle records) and any jurisdictional limits or timeframes for records searched.

Consumer Disclosure

Include a clear disclosure that a consumer report may be obtained, state the consumer’s rights under applicable law, and identify the hiring entity and screening provider.

Authorization

Provide unambiguous authorization language permitting the employer and its agents to obtain and use consumer reports for employment-related decisions.

Adverse Action Process

Describe pre-adverse and final adverse action steps, including delivery of a copy of the report and a written notice that explains the applicant’s rights to dispute inaccuracies.

Signature Block

Include signer printed name, signature, and date; indicate whether electronic or typed signatures are acceptable and how to withdraw consent.

Step-by-step: How to Complete and Collect the Form

Follow this sequence to gather valid consent, send the request to the screening vendor, and document results.

  • 01
    Prepare the form: Customize fields and scope of checks clearly.
  • 02
    Provide disclosure: Deliver a standalone consumer disclosure if required.
  • 03
    Obtain consent: Collect signed, dated authorization from the applicant.
  • 04
    Send to vendor: Transmit completed form securely to the screening provider.

How Electronic Submission and Processing Typically Flow

Digital workflows shorten turnaround and create an audit trail; these four stages summarize the usual online process.

  • Upload Form: Sender uploads the PDF or form to the eSignature or HR platform.
  • Place Fields: Add signature, initials, and checkbox fields for consent.
  • Signer Authenticates: Signer follows email link or code to confirm identity.
  • Record Sent: Completed form and audit trail are delivered to vendor.

Digital Workflow Settings to Configure for Background Checks

Configure your eSignature or HRIS workflow to protect data, verify identity, and preserve a complete audit trail.

Field Configuration
Authentication Email link or SMS code; consider stronger MFA for sensitive roles
Document Retention Store signed PDF plus audit trail for retention period required by law
Access Controls Restrict access to HR and authorized reviewers only
Secure Transmission Use TLS-encrypted transfer to the screening vendor

Technology and Integration Considerations

Integrations with applicant tracking systems and secure storage providers reduce manual steps and keep records centralized for compliance and audits.

  • File formats: PDF and DOCX supported
  • Integrations: Connectors for HRIS and ATS systems
  • Authentication: SMS code, email link, or KBA

Timelines and Typical Processing Expectations

Processing timelines vary by check type and vendor; set expectations with applicants and retain documentation for required periods.

Criminal background checks:

Most complete within 24–72 hours, complex records may take longer

Employment and education verifications:

Often take 3–10 business days depending on prior employers or institutions

Credit checks:

Instant to 48 hours depending on vendor and identity match

Adverse action timing:

Allow time to provide report copy and notice before final decision

Record retention start:

Retention begins on the date the report is received

Key Milestones in a Background Screening Workflow

Track these milestones to ensure timely screening and compliance during the hiring process.

01

Request Authorization

Send disclosure and authorization to the applicant for signature

02

Receive Signed Form

Confirm form is signed, dated, and complete

03

Submit to Vendor

Transmit data and requested checks to the screening provider

04

Act on Results

Follow adverse action procedures if report affects hiring decision

Data Security and Compliance Basics for Background Check Records

Encryption in transit: TLS 1.2/1.3
Encryption at rest: AES-256
Certifications: SOC 2 Type II, ISO 27001
Healthcare privacy: HIPAA-compliant with BAA required
Electronic signature law: ESIGN and UETA compliance
FDA-regulated records: 21 CFR Part 11 available as add-on

Penalties and Legal Risks of Getting the Form Wrong

Consumer reporting violations: FCRA liability and corrective obligations
Incorrect tax or I-9 handling: Administrative fines or penalties
Privacy breaches: State breach notification fines and remediation costs
Adverse action missteps: Obligations to provide notices and report copies
Not properly documented consent: Challenge to report lawfulness and admissibility
Intentional disregard: Higher statutory penalties where applicable

Common Mistakes That Cause Delays or Liability

  • Failing to provide a clear standalone disclosure when required, which can invalidate consent and trigger FCRA compliance gaps.
  • Collecting incomplete identifying information such as missing prior addresses or partial names, leading to mismatched or incomplete reports.
  • Using generic authorization language that omits types of checks performed or denies applicants required dispute rights.
  • Not preserving the signed form and audit trail for the legally required retention period, complicating defense of hiring decisions.

eSignature Vendor Comparison for Background Check Agreement Form Workflows

Compare basic pricing and key features across common providers to match platform capabilities with your screening volume and compliance needs.

signNow DocuSign Adobe Sign PandaDoc HelloSign
Starting Price $8/user/mo $15/user/mo $14/user/mo $19/user/mo $15/user/mo
Free Trial 7-day free trial Trial available Trial available Trial available Trial available
Bulk Send Yes Yes Yes Yes No
Audit Trail Yes Yes Yes Yes Yes
Envelope Cap No cap 100 envelopes/user/year Varies Varies Varies

Real-world Examples of Online Consent and Screening Workflows

These customer examples show practical results when organizations digitize authorization and consent forms for background checks.

Martin Properties

Tim Martin, Founder, described processing and executing documents fully online to maintain compliance and speed.

  • The team used mobile and offline signing capabilities.
  • The result was more efficient applicant onboarding and consistent, auditable authorization records for property management and tenant screenings.

Fertility Centers of Illinois

John Butler, Founder, praised responsive support and a strong API for integrations.

  • The integration linked HR systems to screening vendors.
  • This allowed secure transmission of signed authorization forms and automated retention of the audit trail, reducing manual handling and errors.

Practical Tips to Create a Compliant Background Check Agreement

Follow these best practices to minimize risk and streamline screening workflows.

Use clear standalone disclosures
Provide a concise disclosure separate from the authorization that explains the employer will obtain consumer reports and how they will be used; ensure the applicant can read and acknowledge it before consenting.
Limit data collection
Collect only the personal identifiers necessary for accurate matching and screening to reduce privacy risk and administrative burden.
Preserve the audit trail
Store signed forms, timestamps, IP addresses, and delivery receipts for the full retention period required by law and company policy.
Train staff
Ensure HR personnel follow consistent procedures for disclosures, authorizations, and adverse action notices to avoid inconsistent practices and liability.

Frequently Asked Questions About Background Check Agreement Forms

Answers to common legal and practical questions when using background check authorization forms in hiring workflows.


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