Terms and Conditions - Consumer Report User Agreement

This Agreement by and between AccuSearch, Inc. (“ASI”), an Arizona corporation whose mailing address is 2338 W. Royal Palm Rd., Suite J, Phoenix, AZ 85021, and the applicant (its employees, affiliates, subsidiaries and contractors authorized to conduct background screening, collectively “USER”), will be effective on the date that User is notified by ASI that its Screening Account Application (“APPLICATION”) has been approved.

ASI and User agree as follows:

  1. SERVICES:  ASI, a consumer reporting agency, as defined by the Fair Credit Reporting Act (“FCRA”), collects information from public sources.  ASI compiles this information, which it does not interpret, alter or amend, into consumer reports and investigative consumer reports as defined by the FCRA (“REPORTS”).  Subject to the terms and conditions of this Agreement, ASI agrees to furnish USER with REPORTS for the purpose of screening prospective and/or current employees, volunteers and/or tenants (“SUBJECT(S)”).
  2. PERFORMANCE:  ASI agrees to:
    1. Follow reasonable quality assurance procedures and otherwise make reasonable efforts in accordance with industry standards to include accurate, current and complete information in REPORTS provided to USER;
    2. Re-verify, at no additional cost, any disputed REPORT when either the USER or the SUBJECT makes a request in accordance with applicable law;
    3. Maintain REPORT information and transaction details for a minimum of three (3) years;
    4. Upon written request by the SUBJECT, inform SUBJECT of the substance of the REPORT and information contained in the REPORT provided to USER; and
    5. Reasonably maintain confidentiality of its and USER’s data.
  3. PAYMENT:  USER agrees to pay for services rendered by ASI, as summarized from time to time in a statement listing orders by SUBJECT name and showing related charges.  Payment is Due Upon Receipt of invoice.  Balances remaining unpaid after 30 days will be charged 1.5% interest compounded monthly.  If an account goes to collection, USER agrees to pay all expenses, including reasonable legal fees.
  4. COMPLIANCE:  USER agrees to:
    1. Use the services of, and the REPORTS provided by, ASI solely for the legitimate business purpose indicated in USER’s APPLICATION and in strict compliance with all applicable federal, state and local laws, including, without limitation, equal employment opportunity laws and regulations, the FCRA, the Americans with Disabilities Act (ADA 1990), and the Driver’s Privacy Protection Act (“DPPA”);
    2. Review the FCRA as amended by FACTA, and comply with all legal obligations as outlined in said act, the text of which can be found at http://www.ftc.gov/os/statutes/031224fcra.pdf and the USER obligations of which can be found at: http://www.ftc.gov/os/statutes/2user.html;
    3. Make a clear and conspicuous disclosure to the SUBJECT, in writing and in a standalone document, that a consumer report and/or investigative consumer report may be obtained for the authorized purpose specified, as required by law;
    4. Obtain the proper authorization from the SUBJECT prior to requesting a REPORT and to maintain records of consent, as required by law;
    5. If an adverse decision is expected to be made due to information provided by ASI, provide proper notice to the SUBJECT, a copy of the REPORT obtained, and a copy of the document “A Summary of Your Rights”, as required by law; and
    6. If an adverse decision is made due to information provided by ASI, provide proper notice to the SUBJECT, a description of the SUBJECT’s right to obtain a free report and to dispute any inaccuracies, ASI contact information, a statement that ASI did not make the adverse decision, and notice of the SUBJECT’s rights to receive a free copy of the REPORT and to dispute its accuracy or completeness, as required by law.
  5. SUPPLEMENTAL CALIFORNIA COMPLIANCE:  If USER conducts a background screen on a California resident, then in accordance with the California Investigative Consumer Reporting Agencies Act (ICRA), Cal. Civil Code §1786 et seq., which classifies most of the REPORTS that ASI will provide to USER as investigative consumer reports, USER hereby certifies that it will:
    1. Notify the SUBJECT in writing at any time before a REPORT is procured, in a document that consists solely of the disclosure, that an Investigative Consumer Report will be ordered.  Said notification must state the purpose of the REPORT; provide the name, address and phone number of ASI, who will conduct the investigation; include a summary of the SUBJECT’s rights to see and copy such REPORT; and include a box the SUBJECT may check if he or she wants a copy of the REPORT. 
    2. Provide the applicant with a copy of the REPORT, if requested by the applicant, within three business days of the date that the REPORT is provided to the USER; indicate that ASI issued the report; and provide ASI’s name, address and phone number.
  6. DISCLOSURE: USER agrees to:
    1. Accept responsibility for safeguarding any unique client I.D. that might be issued to the USER’s primary contact listed on its APPLICATION, as well as individual users’ passwords;
    2. Ensure that REPORTS are requested only by USER’s designated representative(s) and forbid employees from obtaining reports on themselves, associates or any other person except in the exercise of official duties; and
    3. Use the information provided by ASI on an exclusive basis, maintaining its confidentiality and disclosing same only to the SUBJECT and to persons whose duties relate to the legitimate business purpose for which the information is intended.
  7. WARRANTY:  ASI warrants that its collection and use of information is in accordance with all applicable laws and regulations.
  8. DISCLAIMER:  ASI cannot and does not guarantee or insure the accuracy, completeness or currentness of information provided in its REPORTS.
  9. LIMITATION OF LIABILITY:  ASI shall exercise reasonable effort to provide USER with complete, accurate and current information.  ASI’s liability for any damages resulting from the preparation and transmission of REPORTS, from a breach by ASI of its obligations under this Agreement and/or for any other conduct of ASI shall be limited to a refund of the fees actually received by ASI under this Agreement.  ASI shall not be liable to USER for any costs, expenses or damages whatsoever, except as expressly agreed to in this Paragraph.
  10. INDEMNIFICATION:
    1. USER shall indemnify, defend and hold ASI harmless from and against any and all claims, demands, costs, expenses, damages and liabilities of any kind or nature whatsoever, including, without limitation, reasonable attorney’s fees incurred by ASI, caused by USER’s breach of the terms of the Agreement or failure to comply with its obligations under the FCRA or other laws applicable to the procurement or use of REPORTS.
    2. ASI shall indemnify, defend and hold USER harmless from and against any and all claims, demands, costs, expenses, damages and liabilities of any kind or nature whatsoever, including but not limited to reasonable attorney’s fees incurred by USER, resulting from gross negligence or intentional misconduct of ASI in preparing and transmitting REPORTS.
  11. TERM AND TERMINATION:
    1. The term of this Agreement shall begin on the Effective Date and will continue for one year from the Effective Date unless earlier terminated, renewed or extended in accordance with the terms of this Agreement. This Agreement will renew automatically for successive one (1) year periods unless either party gives written notice to the other party of its intent not to renew with no less than two (2) weeks’ prior notice.
    2. Either party may terminate this Agreement without cause by providing thirty (30) days’ prior written notice, or terminate with cause, as defined as a material breach of this Agreement, without prior written notice.
  12. GOVERNING LAW: This Agreement shall be construed in accordance with the laws of the state of Arizona.
  13. ARBITRATION: The parties agree that any claim arising out of or relating to this Agreement shall be settled by submitting the dispute to private, final and binding arbitration in Phoenix, Arizona.
  14. FACSIMILES: The parties agree that a faxed or electronic copy of this Agreement is as valid as the original.
  15. HEADINGS: Paragraph headings are for convenience only and are not intended to affect the meaning of any provision.
  16. ENTIRE AGREEMENT: This agreement sets forth the entire understanding and agreement between ASI and USER.
  17. PERIODIC MODIFICATIONS: In order to remain in compliance with laws and regulations governing consumer reporting agencies, ASI may make modifications to this Agreement from time to time. These modifications may be distributed to USER and USER’s use of ASI’s services after the distribution date of such communication will be construed as Agreement and implied consent to these modifications.