Summary of FCRA Compliance

Summary of FCRA Compliance

This Summary of FCRA Compliance ("Summary") is made effective as of by and between:

Client Name: ; and

Service Provider Name: .

WHEREAS

WHEREAS, Client obtains and uses consumer reports and background screening information in connection with employment decisions, tenant screening, credit determinations, or other permissible purposes under the Fair Credit Reporting Act (FCRA); and

WHEREAS, Service Provider supplies consumer reporting services, investigative consumer reports, or data processing services that may implicate FCRA obligations and agrees to maintain procedures and controls to ensure compliance with all applicable FCRA requirements; and

WHEREAS, the parties desire to summarize key compliance responsibilities, recordkeeping practices, and procedures for permissible purposes, consumer disclosures, adverse action, and dispute handling as they relate to the parties' business relationship.

SCOPE OF SERVICES

FCRA COMPLIANCE SUMMARY

Permissible Purpose: Client represents and warrants that consumer reports obtained from Service Provider will be requested and used only for a permissible purpose under the FCRA. Client will maintain written documentation of the permissible purpose for each request and will make that documentation available to Service Provider upon request.

Consumer Disclosure and Authorization: Client shall obtain a clear and conspicuous written disclosure and receive the applicant's or consumer's written authorization prior to procuring any consumer report for employment purposes or other uses that require authorization. Client shall retain copies of such disclosures and authorizations for the period required by applicable law.

Pre-Adverse and Adverse Action Procedures: Where adverse action is contemplated based in whole or in part on information contained in a consumer report, Client shall provide the consumer with a pre-adverse action notice including a copy of the report and a summary of consumer rights under the FCRA, and following final decision, an adverse action notice containing the required FCRA disclosures and consumer reporting agency contact details.

Dispute Handling and Investigations: Service Provider agrees to investigate consumer disputes regarding the accuracy or completeness of consumer report information in accordance with FCRA timelines and shall communicate the results to Client. Client agrees to promptly address consumer disputes and to cooperate with Service Provider in reasonable investigations.

Data Security and Confidentiality: Both parties shall implement and maintain reasonable administrative, technical, and physical safeguards to protect consumer report information from unauthorized access, use, or disclosure and shall limit access to persons with a legitimate business need.

RECORDKEEPING & TRAINING

Record Retention: The parties shall retain records evidencing compliance with the FCRA, including disclosures, authorizations, permissible purpose documentation, adverse action notices, and dispute records for a minimum of the period required by applicable law or, if longer, the parties' document retention policies.

PAYMENT TERMS

TERM AND TERMINATION

This Summary and the services described herein commence on and continue until unless earlier terminated in accordance with this Section.

Either party may terminate for material breach if the breaching party fails to cure within the notice period set forth above. Termination does not relieve either party of obligations accrued prior to termination, including payment and record retention obligations.

CONFIDENTIALITY

Each party shall keep confidential all consumer report information and any non-public compliance-related materials disclosed by the other party. Confidential information shall be used solely for the purposes of performing the obligations under this Summary and not disclosed except as required by law or with the prior written consent of the disclosing party.

GOVERNING LAW

This Summary shall be governed by and construed in accordance with the laws of the state specified below without regard to conflict of laws principles.

ENTIRE AGREEMENT

This Summary constitutes the entire agreement between the parties with respect to the subject matter herein and supersedes all prior and contemporaneous agreements, understandings, and representations, whether written or oral, relating to FCRA compliance obligations described herein. Any amendment must be in writing and executed by authorized representatives of both parties.

CERTIFICATIONS

Each party certifies that it has implemented policies and procedures reasonably designed to ensure compliance with the FCRA, that it will comply with all applicable disclosure, authorization, adverse action, and investigative requirements, and that the individuals identified in this Summary are authorized to bind the respective parties.

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