A California limousine company told a federal court Friday that the state’s newly adopted Dynamex standard for distinguishing between independent contractors and employees will show that Uber Technologies Inc. has misclassified its drivers to get a competitive edge over traditional taxicabs and limousine companies.
Lawyers at Robins Kaplan and Keller Lenkner sued Uber last month on behalf of a SoCal livery service claiming that ride-haling app company saves millions in required benefits and payroll costs by misclassifying drivers, and targets their client with “below-cost and anti-competitive pricing.”
A Los Angeles limousine company has sued Uber Technologies Inc. in federal court in San Francisco for unfair competition, alleging that the ride-booking company saves up to $500 million per year and hurts its rivals by failing to classify its drivers as employees.
A Southern California limousine company sued Uber in federal court earlier this week, alleging violations of state unfair-competition laws. While a company suing Uber is not new, the proposed class-action lawsuit appears to rely on a recently decided California Supreme Court decision that makes it more difficult for companies to […]
Uber has for years successfully fought off lawsuits claiming it misclassifies drivers as contractors, but a class action filed by a competitor this week could force the ride-hail giant to finally start treating drivers like employees.
A limousine company has filed a proposed class action against Uber Technologies Inc. in California federal court alleging that the ride-sharing service has unfairly stolen business from traditional cab companies by low-balling its drivers’ wages and unfairly steering clear of the required costs of doing business.
The lawsuit, filed on behalf of livery services by lawyers at Robins Kaplan and Keller Lenkner, seeks an injunction barring Uber from pricing rides below cost and treble damages for Uber’s allegedly anti-competitive activity.
Uber Technologies Inc. may be saving more than $500 million a year by misclassifying its California drivers as independent contractors, according to a lawsuit that claims the ride-hailing company is flouting a ruling by the state’s highest court.
From the complaint (available here): “Uber’s CEO, Dara Khosrowshahi, has admitted that Uber’s rapid accumulation of market share in the transportation industry was accompanied by a culture of rule breaking. In his words, “[t]he culture went wrong” at Uber and “[t]he governance of the company went wrong.” Khosrowshahi has assured […]
“This validates the theory of the complaint, which is that funding was not secure at the time that Mr Musk issued his tweet,” said Ashley Keller, an attorney at Keller Lenkner who has filed one of several class-action suits.