Uber v drivers: judge rejects 'unfair' settlement in US class action lawsuit | Technology | The Guardian
by Carrie Wong
by Carrie Wong
A federal judge has rejected the proposal to settle a major class-action lawsuit by California and Massachusetts drivers against Uber for $84m, ruling that “the settlement as a whole as currently structured is not fair, adequate, and reasonable”.
In a ruling issued Thursday, Judge Edward M Chen noted that the settlement “yields less than 5% of the total verdict value of all claims being released”.
In particular, Chen objected to the portion of the settlement that would accept $1m to settle a claim that is estimated to result in penalties to Uber of over $1bn, without providing any “coherent analysis” to justify “such a relatively meager value”.
“The settlement, mutually agreed by both sides, was fair and reasonable,” an Uber spokesperson said in a statement. “We’re disappointed in this decision and are taking a look at our options.”
“I am disappointed the judge did not approve the settlement, but I understand and I have heard him,” said Shannon Liss-Riordan, the plaintiff’s attorney.
If a new agreement that meets the judge’s approval is not reached, she said, “I will take the case to trial and fight my hardest for Uber drivers.”....
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