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A group of Uber drivers in a high-profile wage and hour class action are asking that the lead counsel for the lawsuit be removed because of an early $100 million settlement deal that they consider to be too “brash.”
According to the plaintiffs, the $100 million settlement deal negotiated by the lead counsel is “brash, novel, and ambitious,” and ultimately not in their best interest.
The California wage and hour class action lawsuit was filed by the Uber drivers, alleging that Uber purposely misclassified their drivers as independent contractors instead of employees, denying them the benefits they earned.
One of the plaintiffs, Abdo Ghazi, who has also filed a separate state court lawsuit against Uber, says that the settlement is fundamentally flawed. According to Ghazi, the settlement negotiated by the lead counsel, Shannon Liss-Riordan, does not offer satisfactory protection for the Uber drivers involved.
The state court lawsuit seeks compensation for unpaid tips and business expenses for 151 misclassified Uber drivers who had been left out of the wage and hour class action lawsuit.
“Unfortunately, it appears that some of these plaintiffs have slipped through the cracks,” said Ghazi. “They deserve better. Without doubt, the notion of replacing class counsel at this stage of the litigation is vexing — but it is also necessary in deference to the fundamental duties lawyers owe their clients.”
Ghazi has asked U.S. District Judge Edward M. Chen, who has not yet signed off on the settlement, to remove Liss-Riordan from the wage and hour class action that he says is rife with conflicts of interest. According to the request, the settlement puts more than a dozen suits within the class action in jeopardy.
“These problems call into question the propriety of the entire settlement and the ability of Liss-Riordan to adequately represent the settlement class,” Ghazi argued. “Each settlement class member is entitled to the structural assurance of fair and adequate representation in the settlement. What occurred during the negotiation and consummation of the proposed settlement fell demonstrably short of this standard.”
Liss-Riordan responded to the request for disqualification, saying that Ghazi is just trying to disrupt the settlement.
“Their attempt to remove me as counsel from a case that I have vigorously and successfully litigated for three years is another example of lawyers who are not familiar with this litigation trying to jump in to get in on it,” she said in response.
Liss-Riordan said that her proposed settlement was being rejected by the plaintiffs without any substantial support.
“I find it highly troubling that these plaintiffs are making this claim that is not supported by any authority and thereby trying to deprive the class of the benefits we negotiated so that they can pursue this claim that has never been endorsed by a court,” she said.
The $100 million settlement for this group of Uber drivers has been contested before. One lawyer made a bid to disqualify Liss-Riordan earlier this year, and said that the Uber drivers deserved around $1 billion more from a settlement.
This settlement has been nearly three years in the making, but has still left many plaintiffs and lawyers alike dissatisfied. The settlement deal does not resolve the main issue of the suit, which is determining whether or not Uber drivers would be more appropriately classified as employees or independent contractors according to the law.
If you or someone you know has worked as an Uber driver and been denied overtime, tips, or any other injury as a result of being classified as an independent contractor, you may be able to file an individual Uber drivers lawsuit or join a wage and hour class action lawsuit.
Join a Free Uber Driver Class Action Lawsuit Investigation
If you are an Uber driver who lives in Indiana, Central or Southern Illinois, or Wisconsin, you may be eligible to join a class action lawsuit investigation into claims they you were misclassified as independent contractors. Find out if you qualify.
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