New Suit Claims Uber & Lyft Violate Antitrust Laws

A group of drivers claimed on Tuesday that Uber and Lyft are engaging in anticompetitive practices by setting the prices customers pay and limiting drivers’ ability to choose which rides they accept without penalty.

The drivers, supported by the advocacy group Rideshare Drivers United, made the novel legal argument in a state lawsuit that targets the long-running debate about the job status of gig economy workers.

For years, Uber and Lyft have argued that their drivers should be considered independent contractors rather than employees under labor laws, meaning they would be responsible for their own expenses and not typically eligible for unemployment insurance or health benefits. In exchange, the companies argued, drivers could set their own hours and maintain more independence than they could if they were employees.

But in their complaint, which was filed in Superior Court in San Francisco and seeks class-action status, three drivers claim that Uber and Lyft, while treating them as independent contractors, have not truly given them independence and are trying to avoid giving drivers the benefits and protections of employment status while setting restrictions on the way they work.

“They’re making up the rules as they go along. They’re not treating me as independent, they’re not treating me as an employee,” said one of the plaintiffs, Taje Gill, a Lyft and Uber driver in Orange County, Calif. “You’re somewhere in no man’s land,” he added.

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