Uber Drivers Must Arbitrate N.J. Pay Suits, Court Says on Remand

A group of Uber Technologies Inc. drivers must individually arbitrate, rather than litigate as a class, two lawsuits alleging they were misclassified as independent contractors rather than employees under New Jersey law, a federal judge in Trenton ruled Tuesday.

Uber drivers, as a nationwide class, aren’t sufficiently engaged in interstate commerce because their work generally focuses on transporting passengers locally, not giving them rides across state lines, Judge Freda L. Wolfson of the U.S. District Court for the District of New Jersey said.

As such, the drivers can’t use the Federal Arbitration Act’s exemption for transportation workers to avoid arbitrating ...