Background Check Error Lawsuits in New York

New York's Fair Credit Reporting Act also covers background checks. General Business Law § 380-j bars a consumer reporting agency from reporting an arrest or criminal charge unless it led to a conviction or is still pending. Criminal convictions may be reported for seven years from disposition, release or parole, though that time limit does not apply to jobs paying $25,000 or more a year. The State Human Rights Law, Executive Law § 296(16), separately bars most employers from asking about arrests that did not end in a conviction or about sealed records.

Correction Law Article 23-A (Sections 750 to 755) applies to public and private employers. An employer may not deny a job because of a conviction unless the conviction is directly related to the job or hiring would create an unreasonable risk, judged under eight factors. In New York City, the Fair Chance Act generally bars criminal history questions until after a conditional offer. The city also limits credit checks for jobs. The Clean Slate Act, Criminal Procedure Law § 160.57, took effect on November 16, 2024. It seals most misdemeanor convictions three years and most felony convictions eight years after sentencing or release, excluding sex offenses and most class A felonies.

Tenant screening has its own rules. Real Property Law § 227-f bars landlords from refusing to rent because of past or pending housing court cases. Section 238-a caps background and credit check fees at the lesser of actual cost or $20, and the landlord must give the applicant a copy. Since January 1, 2025, New York City's Fair Chance for Housing law allows criminal checks only after a conditional offer.

Where New York FCRA cases are filed

FCRA claims are federal, so they go to a United States District Court. Cases from New York are heard in 4 federal districts:

Southern District of New YorkCourthouses: New York (Manhattan), White Plains, Poughkeepsie.Filed with local or cooperating counsel
Eastern District of New YorkCourthouses: Brooklyn, Central Islip.Filed with local or cooperating counsel
Northern District of New YorkCourthouses: Albany, Binghamton, Plattsburgh, Syracuse, Utica.Filed with local or cooperating counsel
Western District of New YorkCourthouses: Buffalo, Rochester.Filed with local or cooperating counsel

Our attorneys are licensed in Texas, California, and Georgia. Where they aren't admitted in your local federal court, we work with local or cooperating counsel who are. You may also be able to sue where the company that reported you is based, in a court where our attorneys are admitted:

Checkr: HQ in N.D. California
First Advantage and Sterling: HQ in N.D. Georgia
RealPage: HQ in N.D. Texas

Which court is right depends on your facts. We'll tell you at your free case review.

New York laws that add to the FCRA

Reporting of arrests and convictions (N.Y. Gen. Bus. Law § 380-j(a)(1), (f)(1)(v))
A consumer reporting agency may not report an arrest or charge unless there was a conviction or the charge is pending. Convictions may be reported for seven years from disposition, release or parole, except for jobs paying $25,000 or more. Read it
Correction Law Article 23-A (N.Y. Correction Law §§ 750-755)
Bars public and private employers and licensing agencies from denying a job or license because of a criminal conviction unless there is a direct relationship to the job or an unreasonable risk. Requires weighing listed factors, including rehabilitation and the time elapsed. Read it
Clean Slate Act (N.Y. Crim. Proc. Law § 160.57)
Provides for automatic sealing of eligible convictions, three years after sentencing or release for misdemeanors and eight years for most felonies. Sex offenses and most class A felonies are excluded. Read it
Housing court records in tenant screening (N.Y. Real Prop. Law § 227-f)
Bars a landlord from refusing to rent or renew because the applicant was a party to a past or pending landlord-tenant case. Applies whether the landlord learns of the case from a screening company or court records. Read it
Limit on tenant screening fees (N.Y. Real Prop. Law § 238-a)
Limits fees for background and credit checks to the lesser of actual cost or $20. The landlord must give the applicant a copy of the check and the receipt, and must waive the fee if the applicant provides a check from the past 30 days. Read it

Common background check errors

Someone else's criminal or eviction record matched to you by name
Dismissed, sealed or expunged cases still reported
Charges reported as convictions, or misdemeanors as felonies
The same case listed several times
Eviction filings reported without the dismissal or outcome

Learn how these cases work on our background check lawsuits page, or read our lawsuit guides for Checkr, Sterling, HireRight, First Advantage, RealPage, SafeRent, RentGrow and TransUnion Rental Screening.

Frequently asked questions

Can a background check in New York show an arrest that did not lead to a conviction?

Under General Business Law § 380-j, a consumer reporting agency may not report an arrest or charge unless it led to a conviction or is still pending. If a report lists a dismissed or sealed case, you can dispute it with the screening company. You may also have claims under New York law and the federal FCRA.

What does the Clean Slate Act mean for my background check?

Eligible convictions are sealed automatically after the waiting period, and sealed records should not be available to most employers and landlords. Courts have until November 16, 2027 to finish sealing older eligible records. If a screening company reports a sealed conviction, you can dispute it, and the report may violate state and federal law.

Can a New York landlord reject me because of a past housing court case?

Real Property Law § 227-f bars landlords from refusing to rent because an applicant was in a past or pending landlord-tenant case. The Attorney General enforces this law. If a tenant screening report showed a housing court case inaccurately, for example listing a case you won as an eviction, you may also have an FCRA claim against the screening company.

How long do I have to file an FCRA lawsuit in New York?

FCRA deadlines are the same everywhere: generally two years from when you discover the violation, and no more than five years from when it happened (15 U.S.C. § 1681p). Waiting can cost you the claim.

Sources

Updated November 2026. This page is general information, not legal advice.