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Uber Lawsuit News and Updates

The latest Uber lawsuit and settlement News Updates.

Uber Lawsuit Update: Disability Rights Advocates Sue Uber, Lyft Alleging ADA Violations

April 16, 2019
Author: Daniel Gala

A nonprofit disability rights organization has sued ride-sharing giants Uber and Lyft, claiming violations of the Americans with Disabilities Act (ADA) for an alleged failure to provide an adequate number of wheelchair accessible vehicles (WAVs). The lawsuits add to the companies’ legal woes as they navigate their highly anticipated initial public offerings (IPOs), with Lyft having officially gone public in March and Uber’s IPO now imminent with the filing of its registration statement in mid-April.

As IPO present of sorts, on March 20, Disability Rights Advocates (DRA) filed a class-action lawsuit against Lyft on behalf of Bay Area residents with disabilities who require WAVs for transportation, The Daily Californian reported. The group filed a similar class-action suit against Uber in October 2018.

The companies have denied any ADA violations.

“We think about accessibility broadly and know that many who were previously underserved by transit and taxis are now able to rely on Lyft for convenient and affordable rides,” a Lyft company spokesperson said, according to the Daily Californian, adding that the company was working actively with municipalities to deliver “innovative, on-demand WAV offerings.”

Advocates for disability rights see it differently. They argue that as ride-sharing has gained in popularity, driving legacy services such as taxi cabs out of business, the number of WAVs available has been in decline.

“Their service is basically unusable for people who use wheelchairs and need wheelchair accessible vehicles,” said Melissa Riess, an attorney for the DRA, per the Daily Californian. “It could be a really important option for people to get around, especially in the Bay Area, which is so car-centric. On behalf of this community, we’ve brought this lawsuit to compel Lyft to fulfill their legal obligations.”

Local political leaders have taken note of the issue, as well, with Berkeley city councilmember Kate Harrison saying of the ride-sharing services, “They’re negatively impacting seniors and the disabled (and) they’re impacting our bus service.”

Source:

Stassinopoulos, Alexandra. (1 April 2019). Lyft, Uber face class-action lawsuits for disability discrimination. The Daily Californian

Uber Lawsuit Update: Uber, Lyft Offer Drivers IPO Bonuses And Company Stock But Won’t Call Them Employees

April 14, 2019
Author: Daniel Gala

With ride-sharing company Uber racing to join its chief competitor Lyft in going public and cashing in on its own highly anticipated initial public offering (IPO), both companies have announced that they will offer cash bonuses and set aside shares for purchase by their long-time drivers.

While these one-time bonuses and the chance to cash them in for shares at the IPO price no doubt are aimed at making drivers feel they are sharing in the companies’ multibillion-dollar collective paydays, at the same time Uber and Lyft continue to wage multimillion-dollar legal and lobbying wars aimed at keeping their drivers classified as independent contractors rather than employees.

As part of the much-heralded Lyft IPO that took place in mid-March, the ride-sharing company offered drivers cash bonuses based on the number of rides completed, with drivers who had completed at least 20,000 rides potentially earning up to $10,000, and $1,000 going to drivers who had completed a minimum of 10,000 rides, according to Law360. Lyft also reportedly set aside 5% of its IPO shares to be purchased by drivers, with the expectation clearly being that drivers then would invest their new bonuses in company stock, which conveniently also would stimulate higher demand, and therefore a higher share price.

Similarly, in a pre-IPO registration statement filed April 11, Uber said it would provide its drivers with “appreciation awards” ranging from has high as $10,000 to as low as $100 and that it also would provide a pool of shares for drivers to buy at the IPO price.

Despite these supposed demonstrations of good faith, Uber and Lyft continue to use their legal and political clout to push for government regulations and court rulings that support their “gig economy” business models, including their skirting of municipal ride-hailing rules and classifying their millions of drivers as independent contractors rather than employees.

These moves are designed not just to give Uber and Lyft a commercial advantage over legacy ride-hailing services like taxis and limousines, they are central, and some would argue essential, to the very business models on which the companies now are seeking to cash in to the tune of billions of dollars, much of which will go to Uber and Lyft’s corporate brass and already-super-rich investor class.

To see how integral the classification of drivers as independent contractors rather than employees is to these ride-sharing companies’ business models, one need look no further than Uber’s registration statement itself, where, under penalty of perjury, the Uber concedes directly that its business “would be adversely affected if drivers were classified as employees instead of independent contractors.”

Sources:

Uber Technologies, Inc. (Filed 11 April 2019). Form S-1 Registration Statement. United States Securities and Exchange Commission (SEC)

Bayles, C. (12 April 2019). As Lyft, Uber Go Public, Driver’s Status Is Still Murky. Law360

Uber Lawsuit Settlement News Update: Judge Approves $20m Uber Driver Misclassification Settlement

March 25, 2019
Author: Daniel Gala

After receiving additional information on areas ranging from attorneys’ fees to the impact of a recent California Supreme Court decision on the plaintiffs’ claims, a district judge overseeing litigation between ride-sharing company Uber Technologies Inc. and its drivers has approved a proposed $20 million settlement resolving claims that Uber misclassified the drivers as independent contractors rather than employees. Under the agreement, Uber will continue to classify its drivers as independent contractors, though the company has agreed to institute changes to its driver deactivation policy.

The settlement covers roughly 11,000 California-based Uber drivers and 2,600 Uber drivers in Massachusetts. A $100 million settlement agreement had been reached among Uber and drivers in California and Massachusetts in 2015, but that agreement subsequently was rejected by the courts.

Though the $20 million settlement involves only about one-fifth the total payout of the $100 million deal, the new agreement covers fewer drivers, meaning that each individual driver stands to receive more money.

The settlement marks the latest milestone in the ongoing legal battles over the so-called “gig economy,” with a growing number of companies classifying workers as independent contractors rather than employees. In April 2018, the California Supreme Court issued a landmark ruling in the case Dynamex Operations West Inc. v. The Superior Court of Los Angeles, declaring a legal presumption that workers are employees rather than independent contractors.

It remains to be seen what the full implications of the Dynamex decision will be, with attorneys for the drivers conceding that “a great deal of uncertainty continues to exist” regarding the ruling’s full ramifications, according to Law360.

“Arguing the impact of Dynamex would also take additional years of litigation, thus significantly delaying any recovery by settlement class members,” they informed the court.

Source:

LaSusa, M. (22 March 2019). Uber’s $20M Driver Misclassification Deal Gets Green Light. Law360

Uber Lawsuit Settlement News Update: Judge Orders Additional Briefings on $20m Uber Settlement With Drivers

March 20, 2019
Author: Daniel Gala

The federal judge in California presiding over litigation brought by Uber drivers alleging the company had misclassified them as independent contractors rather than employees has ordered briefings providing additional information about the proposed $20 million settlement, which was announced in early March. The topics on which U.S. District Judge Edward Chen would like additional information include attorneys’ fees and the potential value of other claims relinquished by the plaintiffs under the deal, according to Law360.

Although the $20 million proposed settlement features a significantly lower overall payout than the $100 million settlement tentatively reached by the parties in 2015, a deal later rejected by a judge and thrown into turmoil by subsequent judicial rulings, the case now involves thousands fewer plaintiffs, meaning the payout per driver actually would be higher than under the previous agreement.

The proposed deal would cover roughly 11,000 California-based Uber drivers and 2,600 drivers in Massachusetts. Only drivers who did not sign an arbitration agreement with Uber have been eligible to remain in the suit.

Beyond questioning whether the $5 million estimate of attorneys’ fees included litigation costs, Judge Chen also has sought information from the parties about how they arrived at their estimated “verdict value” for each claim brought by the plaintiffs, including the projected $54 million the drivers stood to receive over their employment misclassification claims. The judge also sought further evidence on the value of other claims being surrendered by the plaintiffs under the agreement.

Further, Judge Chen has requested that the parties brief him on the potential impact of the relatively recent California Supreme Court decision in Dynamex Operations West Inc. v. The Superior Court of Los Angeles County, which held that workers have a presumption of being employees rather than independent contractors, a ruling that would seem to have strengthened the drivers’ claims.

Under the terms of the agreement, the drivers’ employment status would remain that of independent contractors rather than employees.

The deadline for the parties to submit the requested information to the court has been set as March 20, with a hearing on the proposed settlement scheduled for March 28.

Source:

Atkins, D. (19 March 2019). Judge Wants more Info On Uber’s $20M Misclassification Deal. Law360

Uber Lawsuit Settlement News Update: Uber Settles NYC Taxi Driver Suits Over Failed Uber T Service

March 19, 2019
Author: Daniel Gala

As Uber Technologies, Inc. continues to tie up loose legal ends in preparation for its highly anticipated initial public offering (IPO), expected to take place sometime this spring, it has settled with seven New York City taxi drivers who had sued the company over its failed Uber T service, which allowed users to hail a New York City taxi cab using the Uber ride-sharing platform. 

The settlement includes a total payout of $195,000 to the seven drivers, out of which will be deducted approximately $70,000 in attorneys fees and court costs, Law360 reported March 13. The drives originally had sought class action status for their case but were denied, limiting the case to the seven plaintiffs. 

“In plaintiffs' view, had this action not settled, the case likely would have gone to trial," the plaintiff drivers wrote in a publicly released letter, portions of which were quoted by Law360. “Defendants maintain they would have moved for and obtained summary judgment. Either way, a settlement at this point will obviate legal costs that would easily outstrip the amount of the parties' proposed settlement."

The original 2016 claim filed by the seven drivers alleged that Uber had misclassified them as independent contractors rather than employees. The settlement comes just days after Uber settled cases involving similar claims with nearly 14,000 drivers from California and Massachusetts, agreeing to pay out roughly $20 million. 

Despite the recent settlements, attorneys representing Uber drivers and other so-called “gig economy” workers have vowed to continue fighting against what they see as abuse  and misuse of the employment classification system.

"We continue to have cases pending against Amazon, GrubHub, Lyft, DoorDash, Postmates, Handy and many others that are exploiting their workers through this business model [of classifying workers as independent contractors rather than employees]," Shannon Liss-Riordan, an attorney for Uber drivers in the $20 million settlement, said in a statement following the announcement of that agreement, per Law360. "Because of arbitration clauses, we are fighting many battles to overcome arbitration, and at the same time, we are also pursuing mass arbitrations against many of these companies."

Source:

Konnath, H. (13 March 2019). Uber Cuts $195K Deal With 7 NYC Cab Drivers In Wage Suit. Law360

Smith, D.N. (12 March 2019). Uber Strikes $20M Deal In Driver Misclassification Suit. Law360

Uber Lawsuit Settlement News Update: Uber Agrees To Pay $20m To CA, MA Drivers Over Employment Classification

March 19, 2019
Author: Daniel Gala

Uber has agreed to pay approximately $20 million to almost 14,000 drivers in California and Massachusetts to settle claims that the company had inappropriately misclassified the drivers as independent contractors rather than employees, Law360 reported March 12. The settlement also involved changes to Uber’s driver deactivation policy and the company’s sexual harassment reporting mechanisms. 

The agreement replaces a $100 million settlement reached between Uber and drivers from California and Massachusetts back in 2015 but which subsequently was rejected by the judge overseeing the litigation over legal technicalities. Later, the Ninth Circuit found Uber’s arbitration agreement with its drivers to be enforceable, reversing a lower court decision and throwing the California class of plaintiffs, many of whom were drivers who had signed an arbitration agreement with Uber, into disarray.

Because the new settlement involves only drivers who did not sign Uber’s arbitration agreement, it covers far fewer drivers, resulting in the significantly lower total payout. However, according to court documents, the new settlement actually will result in significantly higher payouts on a per driver basis, with the average driver receiving approximately $2,200, or nearly six-fold the previous amount, and high-mileage drivers receiving over $6,000 each, more than twice what they stood to receive under the old agreement.

Importantly, the terms of the agreement do not involve any change to the drivers’ employment status, as they will continue to function as independent contractors of Uber. The agreement covers approximately 11,000 drivers in California and 2,600 in Massachusetts. 

Source: 

Smith, D.N. (12 March 2019). Uber Strikes $20M Deal In Driver Misclassification Suit. Law360

Uber Lawsuit News Update: Both Sides Seek Summary Judgment in Fight Between Uber and Boston Cab Companies

March 6, 2019
Author: Daniel Gala

Both Uber and the more than 800 Boston-area taxi companies suing the ride-sharing company have filed motions for summary judgment in consolidated cases over whether or not Uber violated state and municipal laws when it entered the Boston market, Law360 reported March 1.

The taxi companies accuse Uber of being an unlicensed participant in the Boston-area ride-hailing marketplace, which requires a license for operators, from June 2013 to August 2016. The 800-plus taxi companies have filed seven different lawsuits, now consolidated, accusing the company of attempting to circumvent local regulations.

“Discovery has now confirmed that the factual allegations are true and undisputed,” the plaintiffs alleged in a motion for partial summary judgment, according to Law360. “Accordingly, there is ‘no good faith doubt’ that Uber’s unlicensed [peer-to-peer] operations violated the municipal rules.”

Uber counters in its own motion for summary judgment that it at all times has complied with state and local laws and other regulations and that it was, in fact, welcomed by government officials and regulators.

“At every stage, the relevant government officials welcomed Uber’s operations through word and deed,” Uber argued, per Law360. “Plaintiffs may be frustrated that consumers preferred Uber, or that the city and state embraced the new technology, but that in no way renders the competition unfair. Plaintiffs have no basis to force an unwieldy, costly trial simply to attack effective, lawful competition.”

At issue is a 2016 Massachusetts state law intended to lay out the ground rules for transportation network companies (TNCs), such as Uber, who operate within the state. The law created a legal distinction between ride-sharing companies like Uber and Lyft and traditional taxi companies and purported to trump any local regulations covering the same areas.

The same cab-company plaintiffs previously had alleged that Uber had engaged in antitrust practices in an effort to drive the traditional taxi companies out of business, but a judge found in June 2018 that such claims were unwarranted and approved Uber’s motion to have them tossed from the consolidated proceedings.

Source:

Chiem, L. (1 March 2019). Uber, Boston Taxi Cos. Duel Over Unfair Competition Suits. Law360

Uber Lawsuit News Update: Uber self driving car kills pedestrian

August 2, 2018
Author: Daniel Gala

On March 18, 49-year-old Elaine Herzberg was walking her bicycle across the street in Tempe, Arizona when she was struck and killed by a self-driving Volvo SUV owned and operated by Uber. Following what was widely reported as one of the first known instances of a pedestrian being killed by a self-driving car operating in public, Uber was quick to settle with the family of the deceased victim, evidently seeking to avoid the extended media attention that would come with a protracted legal fight.

On March 29, Law360 reported that a lawyer for the family had announced that the family had “resolved” the issue, although terms of the assumed settlement were not disclosed. The vehicle was estimated to be traveling at approximately 40 miles per hour when it struck Herzberg. The Volvo SUV that killed Herzberg was in autonomous mode with a human driver behind the wheel.

Following the fatal March 18 accident, Uber voluntarily ceased all public self-driving-vehicle tests in the cities of San Francisco, Toronto, Pittsburgh, and Phoenix while it examines the causes of the incident. Additionally, Arizona Governor Doug Ducey has ordered Uber to suspend tests of self-driving cars on the state’s public roadways.

In a statement, Uber said, “Our hearts go out to the victim’s family. We are fully cooperating with local authorities in their investigation of this incident.”

The accident has been viewed by many observers as a setback not only for Uber’s efforts to develop self-driving technology, but for the industry as a whole. States recently had been showing a strong willingness to allow for expansive testing of self-driving vehicles on public roads. However, following recent incidents, some states may show greater reluctance, or impose greater restrictions on such testing.

At the least, the incident has raised doubts about industry claims that self-driving technology is something of a panacea that will mean the end of car accidents.

Source:
Law360

Uber Lawsuit News Update: Uber Must Face Breach of Contract Class Action Suit

August 2, 2018
Author: Daniel Gala

A judge in California has ruled that ride-hailing giant Uber must face a class action suit from drivers who allege that the company breached its contract in denying them certain types of pay.

At issue in the case is Uber’s “upfront pricing model,” which charges passengers a projected fare before their ride actually begins, but pays drivers based on the distance and time actually driven. The suit’s central complaint is that this payment model limits drivers’ earnings and constitutes a breach of their employment contract.

The case has been kicking around the courts for some six months, with Uber repeatedly attempting to block it. The recent ruling ensures that the case will proceed.

Neither party indicated what its next legal steps would be.

If you believe you’ve been treated unfairly by Uber or another ride-hailing company, or if you’ve been in an auto accident involving an Uber, Lyft, or other rideshare vehicle, you may have a case.

Uber Lawsuit News Update: National Labor Relations Board Wants to Revive Uber Contract Employee Suit

July 17, 2018
Author: Daniel Gala

The National Labor Relations Board (NLRB) has requested the revival of a proposed class action suit against embattled rideshare giant Uber. The suit accuses Uber of misclassifying driver as independent contractors as a means of unjustly pocketing their tips.

The basis of the request to revive the suit is the NLRB’s insistence that it is illegal for a company to force employees who seek collection action into individual arbitration. Such a law is still in force, according to the NLRB’s amicus brief, even in cases in which employees have had a chance to opt out of any arbitration agreements.

Drivers in the original suit allege that Uber denied them tips, wages, and health insurance because they had been unfairly misclassified as independent contractors rather than as full-time employees.

The NLRB stressed that the National Labor Relations Act holds that all employees have the right to pursue collective litigation, and that employers may not force employees to seek individual arbitration.

Many of the lawsuits facing Uber in courts across the country center on the company’s practice of classifying its employees as independent contractors.

If you’ve been treated unfairly by Uber, or if you’ve been involved in an auto accident involving an Uber vehicle, you may be entitled to compensation.

Uber Lawsuit News Update: Uber Sued for Failure to Outfit Vehicles for Disabled Passengers

July 20, 2018
Author: Daniel Gala

Uber, the ride-hailing giant that has found itself in numerous kinds of legal trouble in several cities and states, has been sued in New York for its alleged failure to outfit its vehicles with ramps or lifts for passengers who do not possess a full range of movement abilities.

The case, filed by the Brooklyn Center for Independence of the Disabled, the Taxis for All Campaign, Disabled Action of Metropolitan New York, and numerous private citizens, alleges that 99.9 percent of Uber vehicles are inaccessible to people in wheelchairs or who have other movement disabilities.

While Uber does have some vehicles with suitable accommodations, plaintiffs in the class action suit allege that the dearth of such vehicles creates unfair delays for disabled Uber users, and thus discriminates against them.

Uber faces court challenges in various cities for its practice of classifying drivers as contractors rather than as employees, for sexual harassment, and for regulatory issues of various kinds. If you have been discriminated against by Uber or another ride service, or if you’ve been in an accident involving an Uber vehicle, you may have a case.

Uber Lawsuit News Update: North Carolina Judge Grants Certification to Uber Drivers in Class Action Suit

July 14, 2018
Author: Daniel Gala

Uber drivers who opted out of an arbitration agreement with the ride-hailing giant may file a collective class action suit, ruled a federal judge in North Carolina. The case rests on whether drivers were misclassified as independent contractors.

The case, to which the judge granted conditional approval, would be filed under the rubric of the Fair Labor Standards Act (FLSA).

An attorney for the plaintiffs, Paul Maslo, stated that he believed between 18,000 and 19,000 members of the class.

At issue is whether Uber, in classifying its drivers as contractors instead of employees, has deprived them of wages, overtime, and certain benefits to which the drivers would be entitled under FLSA. A specific claim is that Uber uses this classification system to avoid compensating their drivers for time spent waiting for fares.

Uber has come under fire in several cities and states for regulatory issues, employment law violations, and sexual harassment.

If you feel you’ve been treated unfairly by Uber, or if you’ve been in an accident that involves an Uber vehicle, contact TheLawFirm.com

Uber Lawsuit News Update: Drivers Urge Judge to Hear Case on Uber’s Controversial Pricing Model

July 6, 2018
Author: Daniel Gala

In a class action suit currently before a California federal court, a group of plaintiffs urged the judge to reject Uber’s attempt to dismiss a suit currently pending against the company for its allegedly unfair pricing model. Uber has argued that the plaintiffs’ case is fundamentally invalid; the plaintiffs insist in no uncertain terms that their case is clear.

In Uber’s “upfront pricing model,” passengers are charged before their ride actually begins. Those charges are determined by what plaintiffs allege to be inflated projections of the time and distance of the actual ride. Drivers receive a portion of the fare, but that portion is calculated by reference to the time and distance actually driven. The discrepancy between the two methods of pricing is at the heart of the suit, which alleges that Uber pockets money that should go to drivers.

Arguments on both sides were heated.

The California suit is one of many Uber currently faces. The ride-hailing company has been taken to task by numerous state and local governments for reasons including unfair compensation, sexual harassment, and regulatory issues.

If you believe you’ve been treated unfairly by Uber or another ride-hailing company, or if you’ve been in a motor vehicle accident that involved an Uber, Lyft, or other rideshare vehicle, you may have a case. Contact the expert attorneys at TheLawFirm.com to learn how we can help you.

Uber Lawsuit News Update: Uber Driver Loses Bid for FLSA Action

June 28, 2018
Author: Daniel Gala

A Florida federal judge has denied an Uber driver’s bid to certify a Fair Labor Standards Act (FLSA) collection action, stating that he had failed to demonstrate that other Uber drivers who had similar concerns wished to join the suit.

The driver, Sebastian A. Rojas, alleges that Uber has not paid its drivers a minimum wage for all of the hours they’ve worked, has not paid overtime, and has improperly classified its employees as independent contractors. Judge Robert N. Scola, Jr., however, ruled that Rojas misunderstands the nature of FLSA class action cases, and has not shown that other Uber drivers are interested in joining his lawsuit.

Rojas filed an affidavit that states that others would join his suit, but has not submitted any additional information about other drivers and has not collected affidavits from other potential plaintiffs.

Rojas is not the first Uber driver to file complaints against ride-sharing giant Uber, which has run into legal difficulties in numerous cities and states over its classification of employees and other practices.

If you or someone you know has been treated unfairly by Uber, or has been injured in an accident involving an Uber or Lyft vehicle, contact TheLawFirm.com.

Uber Lawsuit News Update: Uber Strikes Back against Class-Action Suit Over Driver Wages

June 27, 2018
Author: Daniel Gala

One of the many lawsuits filed against ride-share giant Uber is founded on claims that the company breached its contract in that its “upfront pricing model” actually served to deny drivers the wages they fairly earned. Now, the company is moving to have that suit dismissed.

Uber filed a motion to dismiss the class action suit on the grounds that the plaintiffs misunderstood the contract.

The upfront pricing model charges riders a fee before the ride even begins, but such fares are often calculated on inflated projections of the time and distance of the ride. The suit alleges that Uber calculated its drivers’ shares of the fares based on the actual fare, not based on the fare that the company itself uses to secure the fares. Uber, the suit alleges, pockets the difference in this rigged equation.

Notably, Uber is not denying pocketing the difference. Rather, the company’s motion to dismiss is grounded on an allegation that its drivers misunderstood the contract’s usage of the upfront pricing model.

Central to the class-action suit is the fact that Uber tells drivers they will retain 80 percent of the fares they collect, but that the actual percentage yields turn out to be far lower than that.

If you’ve been stiffed by Uber, or if you’ve been in an accident involving an Uber vehicle, contact TheLawFirm.com. We can help.

Uber Lawsuit News Update: Uber Moves to Discredit Employment Lawsuits

Julne 16, 2018
Author: Daniel Gala

Uber, the troubled ride-sharing company, continues to use every litigation device at its disposal to discredit the lawsuits brought by disgruntled employees. Uber recently filed a brief in federal court that encourages the court to dismiss claims by drivers who assert that they are or were employees proper, not independent contractors.

The grounds for Uber’s current motion state that, since drivers opted out of arbitration, their lawsuits have been invalidated. The suit has been in the courts for four years.

Should Uber drivers past and present be classified in the eyes of the state as employees rather than as contractors, the company could be liable for enormous financial payouts in the form of employee benefits and other compensation.

The cases against Uber are numerous and complex, and the company is fighting them on several fronts.

If you feel that you’ve been cheated out of fairly earned compensation by Uber or another ride-sharing company, or if you’ve been in an accident involving an Uber vehicle, contact TheLawFirm.com.

Uber Lawsuit News Update: Uber Arbitration Misled Workers

June 15, 2018
Author: Daniel Gala

A judge with the National Labor Relations Board (NLRB) has ruled that Uber must rescind or revise a dispute resolution that the company reached with its software engineers. According to the judge, the agreement does not clearly inform employees of their right to file unfair labor charges.

Judge Mara-Louise Anzalone ruled that the dispute resolution wrongfully misleads Uber software engineers to believe that they are unable to file charges with the NLRB, though in fact they legally entitled to do so. At issue was the “legal jargon” in the agreement, which rendered this point particularly unclear.

Uber, the app-based ride-sharing company, has run into a number of legal difficulties at the state and federal level. In particular, numerous cases have been filed pertaining to the company’s unfair treatment and/or classification of its drivers as contractors rather than as employees who are entitled to benefits. The NLRB case presents another angle on Uber’s troubled relationship with its employees.

If you believe you’ve been treated unjustly by Uber, contact TheLawFirm.com.

Uber Lawsuit News Update: NY Uber Drivers Entitled to Employee Status

June 15, 2018
Author: Daniel Gala

Troubled ride-sharing giant Uber has experienced more than its share of legal difficulties in state and federal court. Now, a court in New York has delivered a potentially serious blow to Uber’s firmly held contention that its drivers are not employees but independent contractors.

A judge in New York state’s labor department has ruled that Uber drivers are entitled to receive employee benefits, despite the company’s claim that, since they set their own schedules and were not required to report absences, the company’s drivers are actually contractors.

Companies are not legally obligated to pay employee benefits to independent contractors.

Judge Michelle Burrowes argued that Uber had “exercised sufficient supervision, direction and control” over their drivers for the drivers to be considered, in the eyes of the laws of the state of New York, employees proper. Burrowes cited the company’s requirement that drivers accept at least 90 percent of ride requests.

The case could have ramifications not only for Uber’s bottom line, but for how the company is viewed by regulatory agencies in all of the states in which it operates.

Uber Lawsuit News Update: Uber Fires 20 Employees After Internal Investigation

June 13, 2018
Author: Daniel Gala

The New York Times reports that troubled ride-hailing company Uber has just fired 20 employees after conducting an investigation into its workplace culture. The individuals have not been named.

Still the 900-pound gorilla in the ride-hailing field, Uber has recently seemed vulnerable to threats both internal and external. In numerous American cities – and in numerous courts of law – Uber has run into regulatory and tax difficulties concerning whether its drivers should be classified as employees or as independent contractors. Uber employees past and present have spoken out about a cutthroat workplace culture, and at least one former employee has charged that the company failed to act on the sexual harassment complaint she made.

To address its internal struggles, Uber has contracted with two law firms to conduct investigations and make recommendations. The firings come after a report by the law firm Perkins Coie. Uber has also hired Covington & Burling, the law firm of former U.S. Attorney General Eric Holder, to conduct a further investigation. Covington & Burling’s report has not yet been made public.

If you believe you have a legal complaint against a ride-hailing company, contact us. The consultation is free, and our expert ride-hailing attorneys will help you any way they can.

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