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The class-action lawsuit contested the way Uber promoted its driver background checks as “industry-leading” on its website. Unlike taxi companies, Uber does not require fingerprint identification for its drivers. According to the suit, Uber’s claims of leading the industry in background checks are false.
The lawsuit goes on to claim that the “Safe Rides Fee” charged to passengers is also misleading because there is no possible way to guarantee a safe ride to each and every passenger, and also because the fee was being used to pay for the highly disputable leading industry background checks. In response, Uber has abandoned the “Safe Rides Fee” in favor of a generic “Booking Fee.”
This latest settlement is the most recent chapter in Uber’s book of legal woes. In 2014, the city of Portland sued the company for allegedly operating an illegal and unregulated transportation service. The company has also faced past legal troubles from abroad, including countries such as Thailand and Spain.
It seems Uber’s legal battles are far from over. The corporation faces another class-action lawsuit in June of this year. This time, Uber drivers seek to be legally classified as employees so they can collect benefits when they need them.
What Do You Think?
Was Uber wrong for claiming their background checks were “industry-leading,” or is that a term so generic that anyone can use it? Should Uber drivers be legally classified as employees or as independent contractors instead?
I’d love to hear what you think about Uber and their lawsuits, so share your thoughts on Twitter or my Facebook page!
Be careful how you word your services.
That’s the lesson Uber, the famous (or infamous, depending on your perspective) citizen-taxi service, learned in February. The company is in hot water
News from Attorney Carlos Gamino
Uber’s Multi-Million-Dollar Settlement
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