In this Q&A, Eliza Roady, Sorenson Impact Institute Managing Director of Impact Investing, talks with Noella Sudbury, Founder and CEO of Rasa Legal, about the immediate and transformative impacts of helping people expunge their criminal records.
By Eliza Roady
Seventy to 100 million Americans carry some kind of misdemeanor or felony record, and due to the racial and ethnic biases in our justice system, criminal records disproportionately impact BIPOC communities. Criminal records create numerous barriers, fueling and reinforcing cycles of poverty, and even old and minor records can make it difficult for someone to rent an apartment, get a job, and rebuild their life.
The impact of clearing criminal records is transformative. Expungement of a record can make an almost immediate difference in a person’s life. Research shows that people without records are 63% more likely to get a job interview and that their wages go up by more than 20% within just one year following record clearance.
In my role as the Managing Director of Impact Investing at Sorenson Impact Institute, I am always searching for innovative business models that alleviate the challenges faced by low-income individuals confronting structural and systemic barriers to advancement. One of our latest portfolio companies advancing these goals is Rasa Legal, a firm dedicated to helping eligible Utah individuals expunge their criminal records. Rasa uses technology to streamline the expungement process and provide low-cost legal services for people looking to unlock a better future.
In this interview, I chat with Noella Sudbury, founder and CEO of Rasa, about the impacts of clearing criminal records and why expunging records is good for public safety, community well-being, and the economy.
Eliza Roady: Hi Noella, thanks for talking with me. First, could you describe how having a criminal record affects people’s lives — and how you’ve seen expungement alter those outcomes?
Noella Sudbury: Of course. A criminal record has a massive impact on a person’s economic mobility. People with records are less likely to get a job interview or be promoted, and studies show that individuals with felony records earn, on average, $7,000 less per year than people without records.
Studies also show that 9 out of 10 employers and 4 out of 5 landlords ask about criminal records, making it incredibly difficult for people with even minor records to obtain jobs, stable housing, or move forward with their lives — 79% of people who live with a person who has a record have been denied housing at least once because of the record.
Expunging records has a major impact on these outcomes. Research finds people without records are 63% more likely to get a job interview, and their wages go up by over 22% just one year after record clearance. We are seeing these statistics confirmed by our clients, who, almost immediately after record clearance, are able to access better jobs, higher wages, health care, and retirement benefits. Many people have told us that clearing their criminal record helps them turn a job into a career, and create a different life for their children.
ER: Can you tell me more about how the effects of criminal records extend beyond individuals — to their families, communities, and society as a whole?
NS: Criminal records have far-reaching consequences that extend well beyond the individuals involved. The impact is broad and wide-ranging, affecting issues such as workforce development, recidivism, and economic stability.
One of the most immediate and significant consequences of having a criminal record is limited access to gainful employment. This inability to secure lawful employment perpetuates a cycle of poverty, crime, and reliance on government assistance. This is bad for individuals and expensive for taxpayers.
Time and again, studies prove that criminal records contribute to higher rates of recidivism, increasing the burden on the criminal justice system and jeopardizing community safety. Research shows that clearing criminal records helps reduce recidivism and is good for public safety.
Finally, criminal records impact kids. Half of all children in America have at least one parent with a criminal record, keeping many families in poverty. Research shows that a parent’s record has an impact on their child’s future earnings and opportunities, leading to the perpetuation of that poverty across generations.
ER: Do racial or ethnic biases come into play with these issues?
NS: Unfortunately, yes. Due to the racial and ethnic biases in our justice system, criminal records disproportionately impact BIPOC communities. Across the United States, people of color are arrested and incarcerated at a higher rate. National studies show that by the age of 23, nearly half of all black men are arrested. In addition, 65% of Black adults and 35% of Latino and Asian adults have felt targeted by police because of their race.
Because of these inequities, criminal records disproportionately affect marginalized communities, especially communities of color. Racial disparities in the criminal justice system result in higher rates of arrests and convictions among minority groups. Consequently, these communities face more significant barriers in education, employment, and housing, compounding the negative impact of criminal records on society and perpetuating systemic inequalities.
ER: How do these inequities further social stratification? And how does expungement help?
NS: The justice system is broken all across America. Research shows that 85% of people in the civil legal system end up representing themselves. This is not just or fair, and as a lawyer, I find it to be a heartbreaking statistic.
Rasa is a mission-driven company trying to repair the harms of the criminal justice system, increase access to justice, and show the world that our legal system can do better. Our company is on a mission to make the process of clearing a criminal record simple and affordable for everyone.
ER: How does Rasa’s use of technology change the work you are able to do?
NS: Technology is transformative and leads to scalable impact. By using computer software to bridge the access-to-justice gap, we believe we can create more racial and ethnic equality, economic opportunity for working-class Americans, and a more equitable future for low-income children and families.
Our tool can tell a person in under 3 minutes what is on their record and whether they are eligible for expungement, now or in the future. Our tool is mobile-friendly, and can be accessed online from anywhere, allowing us to serve people in rural communities where there are few lawyers or services. We’re committed to making our tool accessible and affordable, so we also provide free use of our tool to nonprofit partners to help individuals who are at or below the federal poverty line. Since we opened, we’ve served over 10,000 people throughout the state of Utah.
ER: Why should everyone care about these issues, even if they feel they do not affect them personally?
NS: Reduced employment for the millions of Americans with records is estimated to cost the United States economy $87 billion annually. According to the Bureau of Justice Statistics, around 60% of formerly incarcerated individuals are actively seeking employment. These people want to get back to work, but their records are holding them back. When a significant portion of the population is unable to find meaningful employment, it places strain on social welfare programs and increases the burden on taxpayers.
For employers, people with records represent an untapped pool of skilled and loyal workers, especially in this tight labor market. Research shows that hiring people with criminal records leads to higher retention rates. In addition, 85% of HR professionals report that individuals with criminal records perform as well as or better than employees without records. Hiring people with records also helps employers diversify their workforce. Due to the racial and ethnic disparities in our criminal justice system, criminal records are more common among minority populations. Providing second chances leads to upward mobility for communities of color.
Eliza Roady has nearly two decades of experience working across the venture capital, legal, and international development fields. She brings expertise to her work, supporting innovation to tackle the challenges of poverty. Eliza leads the impact investing team at the Sorenson Impact Institute and manages the impact investing training program for undergraduate and graduate students. She also designs and implements the impact investing program’s capital management and deployment strategy, including structuring innovative impact vehicles. Prior to joining the Sorenson, Eliza helped build and lead investing work for Acumen America, a $40M impact venture fund focused on alleviating poverty and increasing opportunity for low-income Americans across the financial inclusion, workforce development, and healthcare sectors. Eliza formerly practiced corporate law at the law firm Orrick, Herrington & Sutcliffe, where she specialized in venture capital and M&A transactions and founded one of the first law firm practice groups in the country to work specifically with social enterprise companies and impact investors.
Noella Sudbury, J.D., is the founder and CEO of Rasa Legal. Noella is a licensed Utah attorney with over a decade of experience in criminal law, policy, and data-driven justice reform. While serving as a Senior Policy Advisor to Salt Lake County Mayor Ben McAdams, Noella led the successful campaign to pass Utah’s Clean Slate law, which automates the expungement process for more than 450,000 Utahns. Noella has served on the National Clean Slate Initiative Steering Committee and has provided technical assistance to other state campaigns to pass automatic clearance. Noella has received several honors and awards for her public service, including being selected as Utah Business Magazine’s 2019 Woman of the Year and being honored with the 2022 Distinguished Service Award from the Utah State Bar. In 2023, she was named by Inc. Magazine as one of the Top 200 most dynamic female founders in America.
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