Opinion ID: 452183
Heading Depth: 3
Heading Rank: 1

Heading: The 1981 Mailing

Text: 25 On May 15, 1981, Equifax sent to Clay copies of certain reports it had prepared over the previous two and one-half years. Equifax's transmittal letter to Nationwide stated: 26 This confirms telephone conversation the morning of 5-14-81 where Mr. Clark [of Nationwide] requested a clearer copy of our interview with Mr. Clay. The carbon on our handwritten responses was dim in places for us to see, so it was necessary for us to overprint and this is to a true copy. Possibly another machine could get a better copy, but this is the best ours could do. 27 In addition, we have photocopies of the investigation we submitted to other customers since last reporting to you, as per your request, and these are attached. 28 Clay contends that by this 1981 mailing Equifax violated sections 1681e (failure to maintain reasonable compliance procedures), 1681 l (failure to verify adverse information), and 1681r (unauthorized disclosure by officer or employee of a credit reporting agency) of the FCRA. Accordingly, he argues that, at least as to these claims, summary judgment was inappropriate. Clay contends also that in requesting and receiving the 1981 mailing Nationwide violated section 1681q (obtaining information under false pretenses). Viewing the record in the light most favorable to Clay, we conclude that all of these claims are either groundless or waived. Section 1681e of the FCRA provides: 29 (a) Every consumer reporting agency shall maintain reasonable procedures designed to avoid violations of section 1681c of this title and to limit the furnishing of consumer reports to the purposes listed under section 1681b of this title. These procedures shall require that prospective users of the information identify themselves, certify the purposes for which the information is sought, and certify that the information will be used for no other purpose.... 30 (b) Whenever a consumer reporting agency prepares a consumer report it shall follow reasonable procedures to assure maximum possible accuracy of the information concerning the individual about whom the report relates. 31 Clay contends that Equifax violated this provision when it mailed to Nationwide copies of the old reports. However, no facts alleged in the complaint or otherwise stated in the record can be viewed as establishing such a claim. In his complaint Clay makes merely a broad, conclusory allegation that Equifax failed to maintain reasonable compliance procedures. Such an allegation without more is not sufficient to withstand a motion for summary judgment. 32 Moreover, we note that section 1681e(b) requires that consumer reporting agencies maintain reasonable compliance procedures when preparing reports. In 1981 Equifax prepared no new reports on Clay; it merely mailed copies of previously prepared reports. The 1981 mailing, therefore, could not be a violation of section 1681e(b). 33 Clay contends also that by its 1981 mailing Equifax violated section 1681 l. That statute provides: 34 Whenever a consumer reporting agency prepares an investigative consumer report, no adverse information in the consumer report ... may be included in a subsequent consumer report unless such adverse information has been verified in the process of making such subsequent consumer report, or the adverse information was received within the three-month period preceding the date the subsequent consumer report is furnished. 35 It is clear that this provision is not applicable to the facts of this case. Again, Equifax prepared no new or subsequent report in 1981; it merely mailed copies of previously prepared reports. Section 1681 l prohibits the inclusion of stale and unverified information in new consumer reports. It does not address, however, the reproduction of existing reports. The copies that Equifax sent to Nationwide each indicated the date and circumstances of the reports and could not be confused as providing new or fresh information. 36 Clay's contentions regarding section 1681r, which prohibits an officer or employee of a credit reporting agency from making any unauthorized disclosures, are likewise meritless. Clay failed to plead or argue any section 1681r claims in the district court. Moreover, no Equifax officer or employee has been named as a defendant in this action. 37 Finally, Clay contends that Nationwide violated section 1681q when it requested and received the 1981 mailing. Section 1681q provides: 38 Any person who knowingly and willfully obtains information on a consumer from a consumer reporting agency under false pretenses shall be fined not more than $5,000 or imprisoned not more than one year, or both. 39 We are at a loss, however, to find where Clay raised this issue prior to appeal. In his supplemental brief Clay states that his complaint fails to mention the 1981 mailing because he was unaware of it at the time he brought suit. He asserts that he became aware of the mailing during discovery. Although it would have been a simple matter for Clay to amend his pleadings to conform with this new information, he failed to do so before the district court entered summary judgment. Furthermore, we find nothing in the record that would raise a significant question concerning Nationwide's pretenses in obtaining the report copies.