The craft store, Michaels, is the target of a lawsuit claiming improper disclosure regarding background checks. The lawsuit alleges Michaels violated the Fair Credit Reporting Act (FCRA) and the New Jersey FCRA (NJFCRA), on both federal and state levels. It contends Michaels only informs prospective employees of background checks by including a disclosure statement in their written and online job applications, instead of disclosing it in a stand-alone document as required by the FCRA and NJFCRA.

It further contends, the company was made aware of the requirement for a stand-alone disclosure by a consumer reporting agency, used by Michaels. The class action suit is proposing one class for all Michaels employees nationwide and another class limited to New Jersey applicants.

The complainant is asking the court to award damages between $100 and $1,000 for each violation. This court case is still pending at this time.