Uber’s Worker Business Model May Harm Competition, Judge Says

June 21, 2019, 6:58 PM UTC

Uber‘s alleged misclassification of drivers as independent contractors could significantly harm competition and violate the spirit of antitrust laws, a federal judge ruled.

The ruling, although not a final decision in the case, is a significant warning to ride-hailing companies. It signals how a 2018 California Supreme Court case and future worker classification laws could open the floodgates to worker misclassification and antitrust claims.

Judge Edward Chen of the U.S. District Court for the Northern District of California declined to dismiss all of the claims brought against Uber by Los Angeles-based transportation service Diva Limousine, saying the company established ...

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