Uber Will Pay $3M to Settle Airport Ride Surcharge Class Action Lawsuit

Massachusetts Uber riders have asked for preliminary approval of a $3.1 million settlement in a class action lawsuit alleging Uber assessed unfair surcharges for trips to Boston’s Logan International Airport.

Lead plaintiffs, Rachel Cullinane, Jacqueline Nunez, Elizabeth Schaul, and Ross McDonagh, say they were forced to pay an extra $8.75 fee for trips to the Boston-area airport and for toll roads.

These fees were called “Logan Massport Surcharge and Toll” or “Logan Massport Surcharge” or “Massport Surcharge” and/or an “East Boston Toll” on the Uber app, according to the plaintiffs.

The Uber class action lawsuit contends that Uber’s $8.75 fee for travel to and from Logan airport did not reflect actual fees assessed by the airport. According to the plaintiffs, Massport does not charge drivers fees for airport drop-offs and charges a mere $3.25 for airport pick-ups. In addition, the so-called “East Boston Toll” overcharged riders a $5.25 fee as well.

Uber continues to deny any wrongdoing, but agreed to pay $3.1 million to a Class of approximately 1,000 riders who paid the Boston fees.

According to the plaintiffs’ motion for preliminary approval of the settlement agreement, each rider is expected to receive $19 through their Uber app, if active, or to Class Members directly if their Uber account is inactive.

“The Agreement was negotiated at arm’s length with an experienced mediator, after full briefing of Uber’s motion to compel arbitration, an appeal to the First Circuit on the enforceability of the arbitration provision, substantial discovery, and the exchange of comprehensive class data,” notes the plaintiffs’ motion.

“Both Parties entered negotiations with more than sufficient knowledge of the strengths and weaknesses of their claims. The Agreement negotiated by the Parties is fair, adequate, and reasonable, and should be preliminarily approved. Uber does not oppose this motion.”

Class Members include all Massachusetts residents with Uber accounts who paid either the Logan airport fees or the “East Boston Toll” starting on Oct. 18, 2011.

“The Settlement Agreement will, if approved, provide a cash fund of $3 million, which will be used to pay Settlement Class Members refunds in the form of Uber Account credits for Active Accounts or checks for Inactive Accounts, pay attorneys’ fees and expenses, Service Awards, and administrative expenses,” states the plaintiffs’ motion for preliminary approval.

“The Settlement Fund is non-reversionary, ensuring that none of the Fund will be returned to Uber. Each member of the Settlement Class will receive a pro rata payment based on the amount of fees paid by the Settlement Class Member relative to the total amount of fees at issue, not including refunds to the Class Member.”

Each of the lead plaintiffs in the Uber class action lawsuit will receive a $5,000 service award. The attorneys’ fees and expenses amount to just under $1 million.

Top Class Actions will post updates to this class action settlement as they become available. For the latest updates, keep checking TopClassActions.com or sign up for our free newsletter. You can also receive notifications when this article is updated by using your free Top Class Actions account and clicking the “Follow Article” button at the top of the post.

The lead plaintiffs and proposed Class Members are represented by Elizabeth Ryan and John Roddy of Bailey & Glasser LLP and Pedro Jaile of The Law Office of Pedro A. Jaile.

The Uber Airport Surcharge Class Action Lawsuit is Cullinane, et al. v. Uber Technologies Inc., Case No. 1:14­-cv-­14750, in the U.S. District Court for the District of Massachusetts.

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