Staffing Agencies Avoid BIPA Liability for Biometric Time Clocks

Illinois court rules agencies that facilitate but don't control biometric data collection are not liable under the state's privacy law

Published on Feb. 10, 2026

An Illinois appellate court has ruled that staffing agencies that enrolled employees in a biometric time clock system and instructed them on its use did not violate the state's Biometric Information Privacy Act (BIPA), as they did not actually "collect, capture, or otherwise obtain" the biometric data. The court emphasized that BIPA liability requires the defendant to have acquired the biometric data, not merely facilitated its collection by another entity.

Why it matters

This ruling provides potentially significant protection for staffing agencies, payroll companies, and other service providers that may interact with biometric systems but do not possess or control the underlying biometric data. It clarifies that BIPA's reach is limited to entities that actually acquire biometric information, rather than those that merely assist in its collection.

The details

The case arose from a class action lawsuit brought by temporary workers placed at a food manufacturing facility in Elgin, Illinois. The workers alleged that staffing agencies that placed them at the facility violated BIPA by collecting their fingerprints through a biometric time clock system without proper notice and consent. However, the court found that the staffing agencies did not possess, control, or have access to the biometric data, which was exclusively held by the facility operator that had installed the time clock system.

  • On January 30, 2026, the Appellate Court of Illinois affirmed summary judgment in Salinas v. Arthur Schuman Midwest, LLC.

The players

Salinas v. Arthur Schuman Midwest, LLC

A putative class action lawsuit brought by temporary workers against staffing agencies over alleged BIPA violations related to a biometric time clock system.

Arthur Schuman Cheese, LLC

The food manufacturing facility operator that installed the biometric time clock system and had exclusive possession of the biometric data.

Staffing agencies

The defendant companies that enrolled workers in the biometric time clock system and instructed them on its use, but did not possess or control the biometric data.

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What’s next

The judge in the case will decide on Tuesday whether or not to allow the plaintiffs to appeal the ruling.

The takeaway

This case highlights the importance of clearly delineating roles and responsibilities around biometric data collection and control, as BIPA liability is limited to the entities that actually acquire the biometric information, not those that merely facilitate its collection.