You may have heard about the recent $100 million settlement reached between Uber and its drivers: http://fortune.com/2016/04/21/uber-drivers-settlement/. In that class action lawsuit Uber’s “driver-partners” claimed that they should be classified as employees, rather than independent contractors.
But there is another class action and it may impact you and other people who use Uber to get around town. That lawsuit, Spencer Meyer v. Travis Kalanick, was filed in federal court in the Southern District of New York in 2015. The plaintiff, an Uber rider (rather than an Uber driver), just notched a pair of significant victories.
First, on March 31, 2016, United States District Judge Jed Rakoff denied the defendant’s motion to dismiss: http://www.bloomberg.com/news/articles/2016-03-31/uber-antitrust-lawsuit-over-pricing-green-lighted-by-judge. The plaintiff alleges that Uber’s smartphone app allows drivers all over the country to agree with Uber and with each other to charge only the prices set by Uber. Judge Rakoff agreed that these allegations are plausible, stating: “The advancement of technological means for the orchestration of large-scale price-fixing conspiracies need not leave antitrust law behind.” Continue reading