This Week in LegalRideshare: Freezes, Recalls and Lawsuits
CHICAGO, August 17, 2019 (Newswire.com) - Uber stops hiring, recalled cars are (apparently) everywhere, and Lyft is slapped with a new lawsuit. LegalRideshare breaks it down.
There's a chill over at Uber. News broke that the company is in the process of a hiring freeze to save money. According to The Mercury News: “The company missed revenue expectations and posted a $5.24 billion net loss, its biggest ever.” This appears to be an effort to ease the losses.
How often are passengers in a recalled car? Turns out more often than people think. Wired covered the story and discovered a pretty eye-raising statistic: “… of 94,000 Uber and Lyft vehicles in New York City and Seattle, one in six had open recalls.”
In Atlanta, news broke Wednesday that a former Lyft driver was accused of stealing over $18,000 from a disabled woman. WSBTV covered the story: “‘While she was in rehab for about six weeks, he was actually using her card to make cash withdrawals and purchases for his own good,’ said Sgt. Paul Cooper, with the Atlanta Police Department Major Fraud Unit.”
Want an Uber pool without the people part of the “pool”? Now that’s a possibility. Mashable covered the news, adding: “Starting Thursday in 16 cities throughout the U.S., that ride request will ask if you’d be willing to take the last seat in a shared ride called an Uber Pool. You’re guaranteed to get dropped off first — and get some Uber Cash for the different type of ride and potential stress of sitting next to a stranger.”
The week ends with more bad news for Lyft. On Friday, Jalopnik reported that Lyft has been slapped with a new class-action lawsuit. This lawsuit is a focus on driver employment status. The article explains: “Brunner’s representatives argue that Lyft waived its right to arbitration by not paying the necessary fees to the American Arbitration Association, which, according to the complaint, Lyft agrees to do in its terms of service.”
Categories: Business News