Understanding the Uber Lawsuit
March 26, 2018 | Commercial Litigation & Class Actions
Uber drivers have filed a class action lawsuit claiming they have been misclassified as independent contractors and are entitled to be reimbursed for their expenses that Uber should have to pay, like for gas and vehicle maintenance. The lawsuit also challenges Uber’s practice of telling passengers that the gratuity is included and not to tip the drivers, even though you are not getting a tip. We welcome Uber’s decision last year to at last add a tip function to its app, a move that users have been pushing for since claims began in popping up in 2013. Uber is still continuing to vigorously defend itself in this lawsuit and is attempting to reverse the trial court’s certification of the case as a class action.
Uber is Fighting the Lawsuit
At the end of 2016, the case against Uber was paused as new appeals were brought forth to the courts from the disgraced driving company. Those appeals were brought before the Ninth Circuit Court of Appeals in mid 2017 and is awaiting a ruling from United States Supreme Court regarding the new point being argued, which is whether companies can use arbitration clauses to block employment class actions. There is still no clear indication on when the case will receive a decision from the Supreme Court or from the Ninth Circuit in regards to the merits of Uber’s appeals. In the meantime, lawyers working on the lawsuit are continuing to push the courts for a new trial date set. Many feel that the case has been dragging on for long enough and that it is high time Uber be held responsible for the actions it took to intentionally cheat its drivers. Uber’s legal issues don’t end there.
Lawsuits Files Against Former CEO
Last year, a new lawsuit was filed against Travis Kalanick and Garrett Camp with the intent to hold them personally liable for the wages owed to California Uber drivers. Recent scandals have put Uber on such shaky ground that a lawyer representing aggrieved drivers has filed a lawsuit against Travis Kalanick and Garrett Camp — the ride-hailing firm’s co-founders — in case the company doesn’t survive long enough to defend itself…Shannon Liss Riordan acknowledged that her new filing shares many similarities with a 2013 class action suit she filed alleging Uber wrongly classified drivers as independent contractors. It is very common in big class action cases that require a large payout and involve a great number of plaintiffs and claims that the case gets settled for a smaller amount in order to reach some sot of compensation fort hose involved rather than dragging things out for years and years and years.
Attempts to Reach a Settlement Denied
In 2016, there was progress made and the legal teamworking the Uber Lawsuit was able to reach a proposed settlement with Uber where the company would agree to pay out $100 million and make some significant changes to the way the business operated and to its policies for its drivers. However, the court declined to approve the settlement. The reason given for the denial was that the courts felt it was too easy of a way out for Uber and that is made it so they were not held responsible on many of the penalties that could be recovered (mostly for the State of California) under the Private Attorney General Act (PAGA). Uber just recently has settled the PAGA claims by filing another case with the court to deal with those fees and penalties. Lawyers today working with Uber drivers are continuing to pursue the class claims that was initially filed in 2013 and are also trying to pursue other claims and compensations for the drivers who have been waiting almost 5 years now for compensation and payments that Uber withheld from them.
There may still be some ways to go until the class action lawsuit can be brought to an end. Until then, the attorneys involved in the case continue to fight and push for the rights of those named in the case and will fight for the compensation that they deserve.
Are you an Uber driver and feel that you’ve been misrepresented? Contact our experienced attorneys today to see how they can help you.
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