Fair Credit Reporting Act – Standing

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Civil

7^th Circuit Court of Appeals

Officials: KANNE and ROVNER, Circuit Judges, and SPRINGMANN, District Judge.

Fair Credit Reporting Act – Standing

No. 15-1150 Erica Tierney v. Advocate Health and Hospitals

Appellants failure to prove that respondent-appellant met definition of a “consumer reporting agency” meant FCRA claims did not apply.

“Nevertheless, the plaintiffs take another shot at fitting Advocate within the definition of “consumer reporting agency.” In an effort to meet the first prong of the definition, they claim that Advocate assembles and shares its patients’ data “on a cooperative nonprofit basis,” even if not for fees. 15 U.S.C. §1681a(f) (emphasis added). Specifically, the com‐ plaint alleges that “Advocate, through Advocate Physician Partners, collects, manages, and shares a multitude of patient information … in a variety of ways.” It then lists several examples: programs to improve health care quality and efficiency; a Medicare savings program; a “shared savings con‐ tract with its biggest commercial insurance partner”; and the hiring of “outpatient care managers.” There is no allegation that these programs involve cooperative sharing of information with third parties. Judging by the allegations, these are internal Advocate programs, with the possible exception of the insurance contract. Nor is there any claim that these programs operate on a non‐profit basis. Even drawing reasonable inferences in the plaintiffs’ favor, we think these al‐ legations are too thin.”

Affirmed.

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Attorney Derek A. Hawkins is the managing partner at Hawkins Law Offices LLC, where he heads up the firm’s startup law practice. He specializes in business formation, corporate governance, intellectual property protection, private equity and venture capital funding and mergers & acquisitions. Check out the website at www.hawkins-lawoffices.com or contact them at 262-737-8825.