Background Check Authorization Form: A Guide for Employers
Learn everything you need to know about background check authorization forms, legal compliance requirements, and best practices for HR managers, startup founders, and small business owners.
Introduction
A Background Check Authorization Form is a legal document that employers use to obtain permission from job candidates or employees before conducting background checks. This form is not just a formality—it's a critical compliance requirement under federal and state laws, including the Fair Credit Reporting Act (FCRA). For HR managers, startup founders, and small business owners, understanding how to properly implement background check authorizations can protect your company from potential lawsuits while helping you make informed hiring decisions. This guide explains what these forms must include, how to use them correctly, and common pitfalls to avoid.
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Key Things to Know
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The Background Check Authorization Form must be a standalone document, separate from your employment application and other onboarding paperwork.
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You must provide a clear disclosure that you will be conducting a background check and obtain written authorization before proceeding with any background screening.
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If you take an adverse action (like not hiring someone) based on background check results, you must follow the FCRA's two-step adverse action process, which includes providing pre-adverse action and adverse action notices.
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Different types of background checks (criminal, credit, driving records, etc.) may have different legal requirements and restrictions depending on your state and industry.
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Keep signed authorization forms on file for at least the duration of employment plus any applicable statute of limitations period for potential claims.
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Review and update your Background Check Authorization Forms regularly to ensure continued compliance with changing laws and regulations.
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Consider working with a reputable background check provider that understands compliance requirements and can help you navigate the legal landscape.
Key decisions before you file
Before you file a Background Check Authorization Form in Tennessee, a few decisions shape the document: which option to choose and what each one means. The Background Check Authorization Form guide walks through them.
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Tennessee Requirements for Background Check Authorization Form
FCRA Disclosure Requirement (15 U.S.C. § 1681b(b)(2)(A)(i))
The form must include a clear and conspicuous disclosure that a consumer report may be obtained for employment purposes, and this disclosure must be in a standalone document.
FCRA Written Authorization (15 U.S.C. § 1681b(b)(2)(A)(ii))
The form must obtain written authorization from the applicant or employee before procuring a consumer report for employment purposes.
FCRA Pre-Adverse Action Notice (15 U.S.C. § 1681b(b)(3)(A))
If adverse action is contemplated based on the background check, the employer must provide the applicant with a copy of the report and a summary of their rights under the FCRA before taking adverse action.
Tennessee Human Rights Act Compliance (Tenn. Code Ann. § 4-21-401)
The form must comply with the Tennessee Human Rights Act which prohibits discrimination in employment based on race, color, religion, sex, national origin, age, disability, or other protected characteristics.
Tennessee Drug-Free Workplace Program (Tenn. Code Ann. § 50-9-101 et seq.)
If drug testing is part of the background check, the form must comply with Tennessee's Drug-Free Workplace Program requirements for notice and consent.
Tennessee Criminal Background Check Law (Tenn. Code Ann. § 40-32-101)
The form must acknowledge that criminal background checks in Tennessee are subject to specific regulations regarding the use of criminal history information in employment decisions.
Equal Employment Opportunity Commission Guidelines (Title VII of the Civil Rights Act of 1964, 42 U.S.C. § 2000e et seq.)
The form must comply with EEOC guidelines which require that background checks not have a disparate impact on protected classes and that criminal history be evaluated based on job-relatedness and business necessity.
Americans with Disabilities Act Compliance (42 U.S.C. § 12112(d))
The form must comply with ADA requirements regarding medical inquiries, which may only be made after a conditional offer of employment has been extended.
Tennessee Employment Security Law (Tenn. Code Ann. § 50-7-101 et seq.)
The form must acknowledge compliance with Tennessee's Employment Security Law regarding verification of employment eligibility and reporting requirements.
Tennessee Identity Theft Deterrence Law (Tenn. Code Ann. § 47-18-2101 et seq.)
The form must include provisions for protecting personal identifying information collected during the background check process in accordance with Tennessee's identity theft laws.
FCRA Summary of Rights Provision (15 U.S.C. § 1681g(c))
The form must acknowledge that the applicant will receive a summary of their rights under the FCRA along with the disclosure.
Tennessee Personal Information Protection Act (Tenn. Code Ann. § 47-18-2107)
The form must comply with Tennessee's requirements for safeguarding personal information collected during background checks and notification in case of data breaches.
Ban-the-Box Considerations (Various local ordinances; Memphis and Nashville have ban-the-box policies for public employment)
While Tennessee does not have a statewide ban-the-box law for private employers, the form should acknowledge any applicable local ordinances that may restrict when criminal history information can be requested.
FCRA Investigative Consumer Report Notice (15 U.S.C. § 1681d)
If an investigative consumer report (involving personal interviews) will be obtained, the form must include additional disclosures about the nature and scope of the investigation.
Tennessee Workers' Compensation Verification (Tenn. Code Ann. § 50-6-101 et seq.)
The form must comply with Tennessee laws regarding verification of workers' compensation history as part of the background check process.
Driver Privacy Protection Act Compliance (18 U.S.C. § 2721 et seq.)
If driving records will be checked, the form must comply with the DPPA requirements for disclosure and use of personal information from motor vehicle records.
Tennessee Education Verification Laws (Tenn. Code Ann. § 49-7-133)
The form must comply with Tennessee laws regarding verification of educational credentials and the proper use of such information in employment decisions.
Consumer Financial Protection Bureau Regulations (12 C.F.R. Part 1022)
The form must comply with CFPB regulations that implement and enforce the FCRA, including requirements for clear and accurate disclosures.
Tennessee Professional Licensing Verification (Tenn. Code Ann. § 62-1-101 et seq.)
The form must acknowledge compliance with Tennessee laws regarding verification of professional licenses and certifications as part of the background check process.
Immigration Reform and Control Act Compliance (8 U.S.C. § 1324a)
The form must acknowledge compliance with IRCA requirements regarding employment eligibility verification, which may be part of the background check process.