Settlement Website: JamesvUber.com
Objection Deadline: June 27, 2022
Exclusion Deadline: June 27, 2022
Claim Form: https://www.jamesvuber.com/form/
Deadline For Submitting Claim: 06/27/2022
Final Hearing Date: 07/14/2022
Settlement Amount: $8.44 million
Proof Of Purchase: While proof of purchase is not applicable, class members need to have a Claimant ID.
Potential Claim Amount: $4,750 (Varies)
A $8.44 million class action settlement has been brought against Uber accusing them of misclassifying drivers as independent contractors rather than employees. The app is used by Uber drivers to ferry people between locations while Uber Eats delivers food to customers. For tax purposes, Uber drivers are considered independent contractors. Employees are governed by labor laws that guarantee them various benefits such as breaks, minimum wage, and overtime. However, independent contractors are not guaranteed these benefits.
This classification of drivers has been subject to massive debate over the years. Various states in the US like California and Washington have passed laws for offering greater rights to drivers and protecting their interests. Two class-action lawsuits were filed against the rideshare company alleging they wrongfully classified their drivers as independent contractors. According to the plaintiffs, the drivers should have been considered full-time employees and offered all the necessary benefits of the classification.
While Uber should have ideally classified them as employees, they chose to misclassify the drivers as independent contractors to prevent reimbursing vehicle-related costs and phone expenses. Uber also failed to provide the drivers with correct itemized wage statements. This misclassification was in complete violation of California law. Uber hasn’t admitted any wrongdoing and has contended correctly classifying drivers as independent contractors which according to them was compliant with California law. However, they have agreed to honor the two class-action lawsuits with an $8.44 million settlement.
The class counsel will request up to 25% of the Gross settlement fund as fees and for costs incurred for prosecuting these actions. They will request enhancement payments for the services rendered by Class Representatives in bringing this case. The total of all enhancement payments made to Class representatives should not exceed $30000. However, the actuals will be determined by the court at the final hearing session.
Eligibility For Making Claim: Californians who used the Uber app between 28th February 2019 and 16th December 2020 as a driver or the Uber Eats app as a driver between 28th June 2016 and 7th October 2021 are eligible to claim the benefits of this class action settlement. However, these Class members should have opted out of Uber’s arbitration clause.
Class members are eligible to receive a cash payment under the terms of the deal. The payment amount will be determined by the number of miles driven by each driver of Uber or Uber Eats. As per the settlement website, eligible class members would receive an average of $4750 assuming 100% of all eligible class members file a claim. Class members can expect higher payments coupled with lower participant rates. Thus, average payments would be $9500 if there is a 50% participation rate. Class members will be eligible for the second round of payment if any funds remain after the initial distribution of cheques. This will happen if adequate residual funds remain to warrant second payments of at least $100. Otherwise, excess funds will be distributed amongst a non-profit organization, Legal Aid at Work which offers free legal services to workers.
