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Lyft Inc. has reached a settlement over allegations it misclassified drivers in California as independent contractors instead of employees.
If you used the Lyft smartphone app to give rides to passengers in California between May 25, 2012 and July 1, 2016, you may be entitled to payment from the Lyft class action settlement.
The Lyft class action lawsuit was filed last year by a group of Lyft drivers who contend they were misclassified as independent contractors. As independent contractors, Lyft drivers were required to pay for out-of-pocket expenses including fuel, vehicle maintenance, insurance costs and detailing.
The Lyft drivers argue that they should be reimbursed for these expenses and that they should be reclassified as employees.
According to the Lyft driver class action lawsuit, Lyft drivers are told how to interact with passengers and risk termination if they don’t follow the guidelines. Therefore, they say they should be treated as employees and earn hourly pay or a salary when driving for Lyft.
Lyft disagreed with the plaintiffs’ assertions and argued that the drivers were properly classified as independent contractors because they can choose when and how much to work.
Lyft denies the allegations but has agreed to pay $27 million to settle the driver misclassification class action lawsuit. In addition to offering compensation to eligible Class Members, Lyft has also agreed to make changes to its Terms of Service and other practices.
Lyft initially agreed to a $12 million class action settlement, but a California federal judge had many questions about the proposed deal, including questions about the amount of compensation each Class Member would receive.
The parties came back with a new settlement, in which Lyft would pay a total of $27 million. The revised Lyft settlement was preliminarily approved on July 1, 2016.
If you would like to exclude yourself from or object to the Lyft driver misclassification settlement, you must do so no later than Oct. 29, 2016.
UPDATE: On Nov. 16, 2016, Lyft drivers urged a California federal judge to grant final approval to a $27 million settlement stemming from a class action lawsuit brought by drivers who want to be treated as employees and not independent contractors.
Who’s Eligible
Class Members include all current and former Lyft drivers who gave at least one ride to passengers in California at any time between May 25, 2012 and July 1, 2016.
Potential Award
Varies. Payment will be calculated based on a points system, and will be awarded as follows:
- “For each Ride given in the period from May 25, 2012, through September 30, 2012, a Class Member will receive two hundred twenty seven (227) Points.
- For each sixty-minute period in Ride Mode for the period from October 1, 2012, through July 1, 2016, a Class Member will receive six hundred (600) Points.
- For each sixty-minute period in Ride Mode for the period from January 14, 2013, through December 23, 2013, a Class Member will receive an additional one hundred twenty (120) Points.
- For each Class Member who spent thirty (30) or more hours per week in Ride Mode in fifty (50) percent or more of the weeks in the period from May 25, 2012, through July 1, 2016, in which he or she gave at least one Ride, the points calculated above will be multiplied by 2, so that the Class Member receives double the number of Points than would otherwise be awarded.”
Proof of Purchase
Claimants must provide their Claimant ID and Verification Number when submitting a claim. If you do not have these numbers but you believe you are a qualified Class Member of the Lyft settlement, contact the Settlement Administrator.
Claim Form
Claim Form Deadline
2/28/2017 UPDATED
Case Name
Patrick Cotter, et al. v. Lyft Inc., Case No. 3:13-cv-04065-VC, in the U.S. District Court for the Northern District of California
Final Hearing
3/9/2017 UPDATED
UPDATE: On March 16, 2017, the California Lyft Driver settlement received final approval from the court. On March 31, 2017, an appeal was filed. Claims will not be paid until all appeals are exhausted. We appreciate your ongoing patience. Top Class Actions will continue to provide updates as we learn more.
UPDATE 2: The appeals to the California Lyft Driver Settlement were resolved as of October 11, 2017. According to the settlement website, valid claims will be paid in early 2018. Let Top Class Actions know when you receive a check in the comments section below or on our Facebook page.
Settlement Website
Claims Administrator
Cotter v. Lyft Inc.
c/o GCG
P.O. Box 35129
Seattle, WA 98124-5129
855-907-3215
info@LyftDriverLawsuit.com
Class Counsel
Shannon Liss-Riordan
Matthew D. Carlson
LICHTEN & LISS-RIORDAN PC
Defense Counsel
Christopher M. Ahearn
Thomas Michael McInerney
Alex Santana
OGLETREE, DEAKINS, NASH, SMOAK & STEWART PC
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7 thoughts onCalifornia Lyft Driver Class Action Settlement
Part of this lawsuit. Never received a check. Last l had contact was late in 2020. Was told as soon as everyone accepts terms payout would begin. This is over 8 months ago!!!
I was part of the class but never received payment.
My name is Avis Ray and I filed a claim and I have not received my settlement from Liv and I drove for Lyft for three years all of 2017 I started in 2016 And stop because of this actual class action lawsuit that was going on because I submitted my claim so I stop driving
I received an email with an ID # but never received a check.
I have been trying to reach someone regarding a settlement check that I never received. Here I am still trying to get a check and I have yet to get anything.
UPDATE: On March 16, 2017, the California Lyft Driver settlement received final approval from the court. On March 31, 2017, an appeal was filed. Claims will not be paid until all appeals are exhausted. We appreciate your ongoing patience. Top Class Actions will continue to provide updates as we learn more.
UPDATE: On Nov. 16, 2016, Lyft drivers urged a California federal judge to grant final approval to a $27 million settlement stemming from a class action lawsuit brought by drivers who want to be treated as employees and not independent contractors.