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The California Supreme Court ruled Thursday that app-based ride-hailing and delivery services like Uber and Lyft can continue treating their drivers as independent contractors rather than employees.
California AB5 was passed in 2019, intended to make app-based workers — such as those for Uber, Lyft and Postmates — full employees with a minimum wage, workplace protections and other benefits.
California Superior Court Judge Ethan Schulman issued his ruling on August 10, 2020, stating that Uber and Lyft must treat their drivers as employees under AB-5, as their work in the context of the "ABC test" was not outside the usual course of their business, nor was a "multi-sided platform" as Uber and Lyft had argued but simply ...
An 11-judge panel of the 9th U.S. Circuit Court of Appeals in San Francisco upheld a lower court ruling that said Uber failed to show that the 2020 state law known as AB5 unfairly singled out app ...
In August 2020, the California court ordered Uber and Lyft to comply with the law within a 10-day deadline. [13] [14]: 1 The companies said they would shut down their operation in California if drivers had to become employees. [2] [15] [16] On August 20, the deadline day, the companies asked for an extension. The court granted an extension ...
In their appeal to the Supreme Court, lawyers for Uber and Lyft, joined by a coalition of California employers, contended the Federal Arbitration Act overrides state laws and blocks broad lawsuits ...
The group has its origins in the 2017 strikes by rideshare drivers at Los Angeles' LAX airport. [ 2 ] [ 3 ] It was also active in the 2019 Lyft and Uber drivers' strikes , [ 1 ] [ 4 ] [ 5 ] and worked to oppose the 2020 California Proposition 22 , [ 6 ] [ 7 ] [ 8 ] which passed with more than 58% of the vote.
(Reuters) -The U.S. Supreme Court declined on Monday to hear a challenge by Uber and Lyft to lawsuits by the state of California on behalf of drivers who signed agreements to keep legal disputes ...